UDFI definition
Examples of UDFI in a sentence
All such reports and statements filed with any such regulatory body or authority are collectively referred to herein as the “Company Reports.” As of their respective dates, the Company Reports complied as to form in all material respects with all the rules and regulations promulgated by the Federal Reserve, the FDIC, the UDFI and any other applicable federal or state securities or banking authorities, as the case may be.
Except as required by applicable law or regulation or the Federal Reserve Board, the FDIC or the UDFI, (i) implement or adopt any material change in its interest rate and other risk management policies, procedures or practices, (ii) fail to follow its existing policies or practices with respect to managing its exposure to interest rate and other risk or (iii) fail to use commercially reasonable means to avoid any material increase in its aggregate exposure to interest rate risk.
It is important to understand UBIT and UDFI consequences when engaging in self-directed plan investments.
UDFI (Unrelated Debt-Financed Income) applies to passive investments that utilize debt financing.
Since January 1, 2018, the Company, the Bank and each of their subsidiaries have filed all material reports, registrations and statements, together with any required amendments thereto, that it was required to file with the Federal Reserve, the FDIC, the UDFI, and any other applicable federal or state securities or banking authorities, except where the failure to file any such report, registration or statement would not reasonably be expected to result in a Material Adverse Effect.
The Underwriters and their affiliates have received an exemption for Stock acquired in connection with underwriting the public offering from the UDFI, satisfactory to the Representatives, so that such Stock may be held by them for such period of time as will permit the sale thereof on a reasonable basis.
Each Party agrees to submit to any examination that may be required by any Regulatory Authority with audit and examination authority over the other Party, to the fullest extent that such Regulatory Authority may require, including examination by the FDIC, FRB or the UDFI to the same extent as Bank and to the fullest extent provided by law.
The Handbook clearly explains the prohibited transaction rules, investment structures, common self directed ▇▇▇ investment assets, and SDIRA tax pitfalls (UBIT & UDFI tax).
Qualified plans may be exempt from UDFI if the debt is used to purchase real property.
For example, if your plan purchases tax lien certificates and borrows 50% of the purchase price, then approximately half of the first year’s revenues would be subject to UDFI taxation.