Commercial paper is a type of debt issued by a company that can serve as a source of funding for its operations. Money raised from commercial paper can be used to meet short-term needs ...

It creates a special purpose entity that purchases the illiquid assets from the firm and finances the purchase by issuing ABCP, which—unlike normal commercial paper—is secured or “backed” by the ...

As commercial paper has a short maturity, typically ranging from days to months, companies reissue this type of debt ...