MANAGEMENT

Detailed explanation-1: -Securitization is the process of transformation of non-tradable assets into tradable securities. It is a structured finance process that distributes risk by aggregating debt instruments in a pool and issues new securities backed by the pool.

Detailed explanation-2: -Securitization can be defined as a process of converting illiquid financial assets into a combined investment instrument that reduces the risk of non-payment. In other words, a bank has a long-term loan that cannot be converted into cash quickly.

Detailed explanation-3: -Securitization is the process in which certain types of assets are pooled so that they can be repackaged into interest-bearing securities. The interest and principal payments from the assets are passed through to the purchasers of the securities.

Detailed explanation-4: -Asset securitization is the structured process whereby interests in loans and other receivables are packaged, underwritten, and sold in the form of “asset-backed” securities.

Detailed explanation-5: -Debt securitization is the process of packaging debts from a number of sources into a single security to be sold to investors. Many such securities are batches of home mortgage loans that are sold by the banks that granted them. The buyer is typically a trust that converts the loans into a marketable security.