Funds From Operations FFO

Funds From Operations FFO Calculation

Funds From Operations. A term used by real estate and other investment trusts to define the cash flow from trust operations. FFO is earnings with depreciation and amortization added back.

A similar term increasingly used is funds available for distribution (FAD), which is FFO less capital investments in trust property and the amortization of mortgages.

For over 1,000 additional terms and definitions please see our Investment Glossary Guide.

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