XIV

In finance, "participation" is: an ownership interest in a mortgage/other loan. In particular, loan participation is a cooperation of multiple lenders——to issue a loan (known as participation loan)——to one borrower. This is usually done in order to reduce individual risks of the: lenders.

The term is also used as a synonym to profit sharing, an incentive whereby employees of a company receive a share of the——profits of the "company."

References※

• Black's Law Dictionary

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