Financial Instruments
Financial instruments refer to contracts that give rise to a financial asset of one entity and a financial liability or equity instrument of another entity. In aviation, financial instruments are commonly used to finance the acquisition of aircraft, engines, and other aviation-related assets. Examples of financial instruments used in aviation include leases, loans, bonds, and securitizations. These instruments allow airlines and other aviation companies to raise capital and manage their financial risks. The use of financial instruments in aviation has become increasingly important as the industry has grown and become more complex.
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