Introduction to Securitization

Overview

Securitization is a financial technique that pools assets togetherand, in effect, turns them into a tradable security. The end resultof a securitization transaction is that a corporation can obtainproceeds by selling assets and not borrowing funds. In real life,many securitization structures are quite complex and enigmatic forpractitioners, investors, and finance students. Typically, booksdetailing this topic are either too lengthy, too technical, or toosuperficial in their presentation. Introduction to ...

See more details below
Hardcover
$61.53
BN.com price
(Save 23%)$80.00 List Price
Other sellers (Hardcover)
  • All (7) from $44.27   
  • New (5) from $44.27   
  • Used (2) from $61.52   

Overview

Securitization is a financial technique that pools assets togetherand, in effect, turns them into a tradable security. The end resultof a securitization transaction is that a corporation can obtainproceeds by selling assets and not borrowing funds. In real life,many securitization structures are quite complex and enigmatic forpractitioners, investors, and finance students. Typically, booksdetailing this topic are either too lengthy, too technical, or toosuperficial in their presentation. Introduction to Securitizationis the first to offer essential information on this topic at afundamental, yet comprehensive level—providing readers with aworking understanding of what has become one of today's mostimportant areas of finance.

Authors Frank Fabozzi and Vinod Kothari, internationallyrecognized experts in the field, clearly define securitization,contrast it with corporate finance, and explain its advantages.They carefully illustrate the structuring of asset-backedsecurities (ABS) transactions, including agency mortgage-backedsecurities (MBS) deals and nonagency deals, and show the use ofcredit enhancements and interest rate derivatives in suchtransactions. They review the collateral classes in ABS, such asretail loans, credit cards, and future flows, and discuss ongoingfunding vehicles such as asset-backed commercial paper conduits andother structured vehicles. And they explain the different types ofcollateralized debt obligations (CDOs) and structured credit,detailing their structuring and analysis. To complement thediscussion, an introduction to credit derivatives is alsoprovided.

The authors conclude with a close look at securitization'simpact on the financial markets and the economy, with a review ofthe now well-documented problems of the securitization of one assetclass: subprime mortgages. While questions about the contributionof securitization have been tainted by the subprime mortgagecrisis, it remains an important process for corporations,municipalities, and government entities seeking funding. Thesignificance of this financial innovation is that it has been animportant form of raising capital for corporations and governmententities throughout the world, as well as a vehicle for riskmanagement. Introduction to Securitization offers practitioners andstudents a simple and comprehensive entry into the interestingworld of securitization and structured credit.

Read More Show Less

Product Details

  • ISBN-13: 9780470371909
  • Publisher: Wiley
  • Publication date: 7/14/2008
  • Series: Frank J. Fabozzi Series , #174
  • Edition number: 1
  • Pages: 366
  • Product dimensions: 5.90 (w) x 9.10 (h) x 1.40 (d)

Meet the Author

Frank J. Fabozzi, PhD, CFA, CPA, is Professor in the Practice ofFinance at Yale University's School of Management, Editor of theJournal of Portfolio Management, and Associate Editor of theJournal of Structured Finance and the Journal of Fixed Income.

Vinod Kothari, chartered accountant, is an author, trainer, andconsultant on securitization, asset-based finance, creditderivatives, and derivatives accounting. Kothari is a visitingfaculty member at the Indian Institute of Management, where heteaches structured finance.

Read More Show Less

Table of Contents

Preface.

About the Authors.

Part One. Background.

Chapter 1. Introduction.

Chapter 2. Issuer Motivation for Securitizing Assets and theGoals of Structuring.

Part Two. Structuring ABS Transactions.

Chapter 3. Structuring Agency MBS Deals.

Chapter 4. Structuring Nonagency Deals.

Chapter 5. Credit Enhancements.

Chapter 6. Use of Interest rate Derivatives in SecuritizationTransactions.

Chapter 7. Operational Issues in Securitization.

Part Three. Review of ABS Collateral.

Chapter 8. Collateral Classes in ABS: Retail Loans.

Chapter 9. Asset-Backed Commercial Paper Conduits and OtherStructured Vehicles.

Chapter 10. Securitization of Future Cash Flows:Future Revenues,Operating Revenues, and Insurance Profits.

Part Four. Collateralized Debt Obligations.

Chapter 11. Introduction to Collateralized Debt Obligations.

Chapter 12. Types of Collateralized Debt Obligations.

Chapter 13. Structuring and Analysis of CDOs.

Part Five. Implications for Financial Markets.

Chapter 14. Benefits of Securitization to Financial Markets andEconomies.

Chapter 15. Concerns with Securitization’s Impact onFinancial Markets and Economies.

Appendix A. Basics of Credit Derivatives.

Appendix B. Valuing Mortgage-Backed and Asset-BackedSecurities.

References.

Index.

Read More Show Less

Customer Reviews

Be the first to write a review
( 0 )
Rating Distribution

5 Star

(0)

4 Star

(0)

3 Star

(0)

2 Star

(0)

1 Star

(0)

Your Rating:

Your Name: Create a Pen Name or

Barnes & Noble.com Review Rules

Our reader reviews allow you to share your comments on titles you liked, or didn't, with others. By submitting an online review, you are representing to Barnes & Noble.com that all information contained in your review is original and accurate in all respects, and that the submission of such content by you and the posting of such content by Barnes & Noble.com does not and will not violate the rights of any third party. Please follow the rules below to help ensure that your review can be posted.

Reviews by Our Customers Under the Age of 13

We highly value and respect everyone's opinion concerning the titles we offer. However, we cannot allow persons under the age of 13 to have accounts at BN.com or to post customer reviews. Please see our Terms of Use for more details.

What to exclude from your review:

Please do not write about reviews, commentary, or information posted on the product page. If you see any errors in the information on the product page, please send us an email.

Reviews should not contain any of the following:

  • - HTML tags, profanity, obscenities, vulgarities, or comments that defame anyone
  • - Time-sensitive information such as tour dates, signings, lectures, etc.
  • - Single-word reviews. Other people will read your review to discover why you liked or didn't like the title. Be descriptive.
  • - Comments focusing on the author or that may ruin the ending for others
  • - Phone numbers, addresses, URLs
  • - Pricing and availability information or alternative ordering information
  • - Advertisements or commercial solicitation

Reminder:

  • - By submitting a review, you grant to Barnes & Noble.com and its sublicensees the royalty-free, perpetual, irrevocable right and license to use the review in accordance with the Barnes & Noble.com Terms of Use.
  • - Barnes & Noble.com reserves the right not to post any review -- particularly those that do not follow the terms and conditions of these Rules. Barnes & Noble.com also reserves the right to remove any review at any time without notice.
  • - See Terms of Use for other conditions and disclaimers.
Search for Products You'd Like to Recommend

Recommend other products that relate to your review. Just search for them below and share!

Create a Pen Name

Your Pen Name is your unique identity on BN.com. It will appear on the reviews you write and other website activities. Your Pen Name cannot be edited, changed or deleted once submitted.

 
Your Pen Name can be any combination of alphanumeric characters (plus - and _), and must be at least two characters long.

Continue Anonymously

    If you find inappropriate content, please report it to Barnes & Noble
    Why is this product inappropriate?
    Comments (optional)