waterfall is the contractual distribution of principal and interest cash flows in a multi-tranche security such as an ABS, CMO or CDO. The contractually specified allocation of cash to debt holders and other parties. The priority of payments to holders of different classes of securities created from a securitization.
Barry Goldsmith
| APA | Barry Goldsmith. (2010). waterfall. Retrieved September 20, 2026, from http://smartdefine.org/waterfall/definitions/1166419 |
| Chicago | Barry Goldsmith. 2010. "waterfall" http://smartdefine.org/waterfall/definitions/1166419 (accessed September 20, 2026). |
| Harvard | Barry Goldsmith 2010, waterfall, Smart Define, viewed 20 September, 2026, <http://smartdefine.org/waterfall/definitions/1166419>. |
| MLA | Barry Goldsmith. "waterfall" 21 October 2010. Web. 20 September 2026. <http://smartdefine.org/waterfall/definitions/1166419> |