Cash allocation farm invested in banks in Tennessee (7)
I believe the answer is:
tranche
'cash allocation' is the definition.
The definition suggests a singular noun which matches the answer.
'farm invested in banks in tennessee' is the wordplay.
'farm' becomes 'ranch' (ranch is a kind of farm).
'invested in' is an insertion indicator.
'banks in' means to remove the middle letters (the edges or banks of the word).
'tennessee' with its centre taken out is 'te'.
'ranch' put into 'te' is 'TRANCHE'.
Can you help me to learn more?
(Other definitions for tranche that I've seen before include "instalment of shares" , "Instalment of e.g. loan" , "Share -- chanter (anag)" , "batch supplied" , "Block of shares, say" .)