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| Definitions by InvestorWords.com |
| What is...? |
| reserve In asset-based lending, the difference between the value of the collateral and the amount lent. Also, funds set aside for emergencies or other future needs. see also bad debt reserve, Federal Reserve System, Federal Reserve Bank, Federal Funds, borrowed reserves, cash reserves, contingency fund, customer protection rule, draining reserves, multiplier effect, run, self insurance, valuation reserve. Also, in an auction, the minimum amount a seller is willing to sell at, known to the auction house but not the bidders. |
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