Business Terms and Jargon Explained

What is Securitisation

The substitution of securities, generally bonds, for loans. Banks and other financial intermediaries, for example, have packaged house mortgages in this way so that the interest paid by borrowers is received by the purchaser of the security.

Crown Copyright. Material taken from HM-Treasury. Reproduced under the terms and conditions of the Click-Use Licence.

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Karat Backpay JASDAQ
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Term created / updated 2007-04-04 14:31:18

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