Reading 53 Introduction to Asset-Backed Securities (Layout)
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Section 2 discusses of the benefits of securitization for economies and financial markets To underline the importance of securitization from a macroeconomic perspective.
In Section 3, the reading describes securitization and identifies the parties involved in the process and their roles. It also discusses typical structures of securitizations, including credit tranching and time tranching.
Sections 4–6 discuss securities backed by mortgages for real estate property.
In Section 4, Many types of residential mortgage designs around the world are described.
Sections 5 and 6 focus on residential MBS and commercial MBS, respectively.
Section 7 discusses ABS based on two types of non-mortgage loans that are typically securitized throughout the world: auto loans and credit card receivables.
Section 8 covers Collateralized debt obligations.
Section 9 concludes the reading with a summary.