What is traunch definition?

A "tranche" is a financial term that refers to a specific portion of money or financing that has been allocated for a particular purpose. It is commonly used in investments, where large sums of money are divided into smaller portions or tranches to distribute the risk among investors. For example, in a mortgage-backed security, the underlying mortgages are divided into tranches or layers with different priorities for repayment in case of default. The tranches can also have different interest rates, maturities, and other characteristics. The term can also be used in regards to fundraising efforts, where money is raised in tranches or stages to help manage risk and ensure that the funds are being utilized effectively.