English Language Tests-Intermediate level''''s archiveAsset Backed Securities pptx

English Language Tests-Intermediate level's archive Asset Backed Securities 1. Ope Agbaje, the ABS analyst at CSAM, goes on to explain that there are a number of important advantages for investors asset backed securities. filing holding keeping seeking 2. Firstly, they gain exposure to a liquid, fixed income investment in a diversified pool of assets, such as auto loans, which make alternative to a corporate bond or other fixed income investment. a lucrative an attractive an elective a seductive 3. In some cases assets, or assets which investors would not ordinarily have access to, such as loans to small and medium enterprises, make up the pool of assets. bound fixed illiquid restricted 4. However, unlike unsecured bonds, which are fully dependent on the operating, payment ability and ultimately bankruptcy risk of a company, asset backed securities to various degrees tend to be (fully or partly) from those risks. excluded exclusive remote removed 5. Typically, they are legally separated from the originator and rely entirely on the performance of the ring-fenced assets, transferred and as bond collateral. guaranteed pledged sworn vowed 6. Simply put, the investor buying the securities is not to the credit risk associated with originator of the assets and, thus, ABS bonds represent one of the more secure forms of fixed income securities from a credit quality standpoint. engaged entailed exposed extended 7. A number of ABS issues also benefit from external protection in the form of insurance, such as a credit enhancement provider that ensures the quality of the issue, as well as a liquidity provider that covers certain cashflow overruns shortcomings shortfalls windfalls 8. A further benefit for the investor is that the risk associated with consumer credits, such as credit cards and home loans, can be more easily calculated using advanced quantitative techniques, without the same level of often associated with other fixed income debt such as corporate bonds. accuracy objectivity subjectivity subtlety 9. This is because a statistical approach can be more relevant for some asset back bonds that have a underlying collateral consisting of thousands of loans. disparate homogenous motley unique 10. While ABS bonds have long been a key component of many fixed income strategies, the search for new sources of have led many investors to the ABS market. assets income interest yield . English Language Tests-Intermediate level's archive Asset Backed Securities 1. Ope Agbaje, the ABS analyst at CSAM, goes on. CSAM, goes on to explain that there are a number of important advantages for investors asset backed securities. filing holding keeping seeking 2. Firstly, they gain exposure to a liquid,. dependent on the operating, payment ability and ultimately bankruptcy risk of a company, asset backed securities to various degrees tend to be (fully or partly) from those risks. excluded exclusive