Monoline

A business that focuses on operating in one specific financial area. The main advantage of monolines is that these companies have specialized skills and provide expertise beyond what can usually be expected from companies that businesses are spread across many different financial areas.

For example, monoline insurers give investors and issuers the confidence to participate in the market by providing liquidity and financial protection. Without fully understanding the entire system and how it all comes together, a company is unable to provide its customers with quality service. Due to the expertise that monoline companies have in the industry, they are able to reduce operating cost, enhance customer service and evaluate/manage risk much more efficiently.


Investment dictionary. . 2012.

Look at other dictionaries:

  • monoline — USA Also known as monoline insurers. This is an insurance company that guarantees the timely repayment of bond interest and principal in exchange for insurance premiums. When a bond issuer defaults, the monoline is obligated to make all interest… …   Law dictionary

  • Monoline — Monoline, s. Setzmaschine, S. II …   Meyers Großes Konversations-Lexikon

  • Monoline — Rehaussement de crédit Le rehaussement de crédit est une opération financière par laquelle un établissement financier spécialisé, appelé rehausseur de crédit (ou monoline en anglais) apporte sa garantie à un organisme (public ou privé) qui émet… …   Wikipédia en Français

  • monoline — noun a) A company operating in only one industry or line of business; often specifically a bank specializing in credit card issuance. b) An insurer specialized in insuring investment grade securities against loss. See Also: monorail, monotype,… …   Wiktionary

  • monoline — mono·line …   English syllables

  • monoline — I. “+ adjective Etymology: mon + line (n.) : having or relating to a single line: as a. : writing only one main branch of insurance compare multiple line b. : monorail …   Useful english dictionary

  • Monoline insurance — Monoline insurers (also referred to as monoline insurance companies or simply monolines ) guarantee the timely repayment of bond principal and interest when an issuer defaults. They are so named because they provide services to only one industry …   Wikipedia

  • monoline insurer — UK US noun [C] (also monoline) FINANCE, STOCK MARKET, INSURANCE ► a company that offers insurance against bonds not being paid back: »Home equity loan asset backed issuers routinely use insurance guarantees from monoline insurers …   Financial and business terms

  • monoline insurer — Specialist insurer whose sole business is the provision of financial guarantee insurance. Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010 …   Law dictionary

  • Monoline Insurance Company — An insurance company that provides guarantees to issuers, often in the form of credit wraps, that enhance the credit of the issuer. These insurance companies first began providing wraps for municipal bond issues, but now provide credit… …   Investment dictionary

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