Debt Securitization is the process adopted by financial institution to arrange funds for lending to a particular sector or particular purpose. In this process financial institution make a pool of funds granted to a particular sector which is transferred to a particular account called as Special Purpose Vehicle. Against this SPV institution issues securities to general public. These securities are backed by Assets.
Wednesday, June 29, 2016
Debt Securitization
Debt Securitization is the process adopted by financial institution to arrange funds for lending to a particular sector or particular purpose. In this process financial institution make a pool of funds granted to a particular sector which is transferred to a particular account called as Special Purpose Vehicle. Against this SPV institution issues securities to general public. These securities are backed by Assets.
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