- So instead of carrying a letter of credit on a balance sheet, a creditor will securitize it and sell it on the open market.
- As more companies securitize their assets, the arguments become even more bitter.
- And much of the debt has been securitized into income shares sold to the public which has no knowledge of what they bought.
- Capital One is just one of many credit card issuers that securitize loans.
- You can also securitize the projected cash flows, as noted finance theorist Robert Merton has recommended.
- Additionally, many asset-backed conduits purchase financial assets already securitized by other funding corporations.