A Primer On Securitization

Author : Leon T. Kendall,Michael J. Fishman
Publisher : MIT Press
Page : 200 pages
File Size : 40,6 Mb
Release : 2000
Category : Business & Economics
ISBN : 0262611635

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A Primer on Securitization by Leon T. Kendall,Michael J. Fishman Pdf

A Primer on Securitization introduces readers to America's newest system of raising capital: what it is, how it operates, and what difference securitization makes. Gathering fourteen lectures by the pioneers of securitization and by current practitioners--from Freddie Mac, Paine Webber, JP Morgan, Chrysler, McKinsey & Co, and other major players-- A Primer on Securitization introduces readers to America's newest system of raising capital: what it is, how it operates, and what difference securitization makes.The securitization process bypasses financial intermediaries that have historically collected deposits and loaned them to those seeking funds, and links borrowers directly to money and capital markets. Although little has been written about what is perhaps one of the most important innovations to emerge in financial markets since the 1930s, securitization has revolutionized the way that the borrowing needs of consumers and businesses are met. Today, for example, over two-thirds of all home loans are being securitized, along with substantial percentages of auto loans and credit card receivables, and the process continues to expand into new fields including synthetic securities. Authoritative and practical, these lectures show how securitization was developed to fill a gap in financial markets. They discuss the nature and causes of the market imperfections that made securitization a valuable source of funds, and describe how securitization has linked local mortgage markets with international capital markets. Readers will gain a broad perspective of the different parties--the borrower, the loan originator, the servicer, the rating agency, the special purpose vehicle, the credit enhancer, the underwriter, and the investor--as well as a detailed analysis of how these parties relate to one another. From the inception of the secondary mortgage market through the collapse of the Granite funds, readers will learn not only about the success but also about the excesses and failures that typically accompany the development of any product in the real or financial sector.

Author : Andrew Davidson,Anthony Sanders,Lan-Ling Wolff,Anne Ching
Publisher : John Wiley & Sons
Page : 576 pages
File Size : 43,6 Mb
Release : 2004-04-12
Category : Business & Economics
ISBN : 9780471690016

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Securitization by Andrew Davidson,Anthony Sanders,Lan-Ling Wolff,Anne Ching Pdf

"This book fills a very important gap in the mindset of the bond structurer and the investor. Often, the two disciplines approach their tasks ignorant of the perspectives of the other side. But successful structuring requires providing the best value to investors in order to compete, and investors who don’t fully understand structuring will not remain investors for long. Highly recommended!" —Bennett W. Golub, Managing Director, BlackRock, Inc. "An excellent primer on asset securitization, clearly written in plain English and with straightforward mathematical expressions. This book is suitable for both business school students and structured finance market practitioners." —Joseph Hu, PhD, Managing Director, Structured Finance Ratings, Standard & Poor’s "In their new work Securitization: Structuring and Investment Analysis, Andrew Davidson et al. reinforce their preeminence in the alchemy of mortgage securitization. Anyone involved in mortgages neglects Andy’s work at his peril." —Richard T. Pratt, Chairman, Richard T. Pratt Associates; Former Chairman, Merrill Lynch Mortgage Corporation "This book provides an insightful and accessible exploration of securitized real estate markets. As such, it provides a valuable service to those active and interested in these burgeoning markets. The authors have done a wonderful job of gracefully integrating a vast and important subject matter. Accordingly, this book also makes for an excellent textbook for those universities offering one or more courses in this rapidly growing field." —Joseph L. Pagliari, Jr., Kellogg School of Management, Northwestern University

Author : Arnab Chowdhury
Publisher : Tata McGraw-Hill Education
Page : 0 pages
File Size : 44,7 Mb
Release : 2011
Category : Asset-backed financing
ISBN : 0070680825

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Securitisation, a Primer by Arnab Chowdhury Pdf

Author : Vinod Kothari
Publisher : John Wiley & Sons
Page : 1025 pages
File Size : 40,8 Mb
Release : 2006-06-16
Category : Business & Economics
ISBN : 9780470821954

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Securitization by Vinod Kothari Pdf

Get a thorough explanation of the nuances of securitization in the global business market with this comprehensive resource. Synthetic securitization and structured products are revolutionizing the financial industry and changing the way banks, institutional investors, and securities traders do business both domestically and globally. Written by a top international trainer and expert on securitization, this book is an ideal way for all market practitioners, whether investors, bankers, or analysts, to ensure they understand the ins and outs of this practice.

Author : James H. Carr,Nandinee K. Kutty
Publisher : Taylor & Francis
Page : 369 pages
File Size : 54,9 Mb
Release : 2008
Category : Business & Economics
ISBN : 9780415965347

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Segregation by James H. Carr,Nandinee K. Kutty Pdf

Segregation: The Rising Costs for America documents how discriminatory practices in the housing markets through most of the past century, and that continue today, have produced extreme levels of residential segregation that result in significant disparities in access to good jobs, quality education, homeownership attainment and asset accumulation between minority and non-minority households. The book also demonstrates how problems facing minority communities are increasingly important to the nation's long-term economic vitality and global competitiveness as a whole. Solutions to the challenges facing the nation in creating a more equitable society are not beyond our ability to design or implement, and it is in the interest of all Americans to support programs aimed at creating a more just society. The book is uniquely valuable to students in the social sciences and public policy, as well as to policy makers, and city planners.

Author : Michael Lounsbury,Paul M. Hirsch
Publisher : Emerald Group Publishing
Page : 348 pages
File Size : 55,5 Mb
Release : 2010-07-07
Category : Social Science
ISBN : 9780857242068

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Markets On Trial by Michael Lounsbury,Paul M. Hirsch Pdf

Since the mid-20th century, organizational theorists have increasingly distanced themselves from the study of core societal power centers and important policy issues of the day. This title addresses the global financial crisis debates.

Author : Adam B. Ashcraft
Publisher : DIANE Publishing
Page : 76 pages
File Size : 44,6 Mb
Release : 2010-03
Category : Electronic
ISBN : 9781437925142

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Understanding the Securitization of Subprime Mortgage Credit by Adam B. Ashcraft Pdf

Provides an overview of the subprime mortgage securitization process and the seven key informational frictions that arise. Discusses the ways that market participants work to minimize these frictions and speculate on how this process broke down. Continues with a complete picture of the subprime borrower and the subprime loan, discussing both predatory borrowing and predatory lending. Presents the key structural features of a typical subprime securitization, documents how rating agencies assign credit ratings to mortgage-backed securities, and outlines how these agencies monitor the performance of mortgage pools over time. The authors draw upon the example of a mortgage pool securitized by New Century Financial during 2006. Illustrations.

Author : Frank J. Fabozzi
Publisher : John Wiley & Sons
Page : 252 pages
File Size : 41,5 Mb
Release : 2001-05-02
Category : Business & Economics
ISBN : 1883249929

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Accessing Capital Markets through Securitization by Frank J. Fabozzi Pdf

This innovative collection, written by securitization professionalsand edited by finance guru Frank Fabozzi, thoroughly explains thebasics and the mechanics of securitization and shows howsecuritization can help more institutions offer innovativefixed-income products. Further, it discusses the effects of the capital markets onsecuritization and helps financial professionals decide whether ornot to securitize. Filled with strategies and techniques, financialprofessionals will learn how to use float asset-backed offeringsand how to hedge against risk and default.

Author : Shengzhe Wang
Publisher : diplom.de
Page : 78 pages
File Size : 40,5 Mb
Release : 2005-05-02
Category : Business & Economics
ISBN : 9783832487195

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True Sale Securitization in Germany and China by Shengzhe Wang Pdf

Inhaltsangabe:Abstract: The Master thesis for LL.M. at Goethe university s ILF titled True Sale Securitization in Germany and China is a comparative study about true sale securitization. The initial reason for a comparative study was the similarity of banking centred financial systems in these two countries. Another reason is connected with the True Sale Initiative (TSI), a plan composed by major German banks aiming at improving their financial situation. German banks start to be plagued by the non-performing loans (NPLs) since 2001 due to mediocre performance of German corporations and depreciation of banks investment to the east part during 1990s. Facing the competitions from other countries and under pressures from the International Convergence of Capital Measurement and Capital Standards: a Revised Framework (Basel II) issued by the Basel Committee on Banking and Supervisory Practice (Basel Committee) at the Bank for International Settlements, the German banks employed the TSI as one part of the bigger financial reform to regain competition in Europe and worldwide. December 2004, the first true sale securitization was successfully constructed in Germany after German federal government changed some of its formerly unfriendly legal, taxation and accounting rules. The German experiences with TSI can shed some light into how China to develop its asset-backed securities (ABS) market in order to save its heavy NPLs-burdened banks and find alternative funds for its corporations. Although securitization might be a possible solution, the Chinese current legal system and market infrastructure prevents it from fully utilizing this modern financing technique. What China can learn from Germany s experiences is, that a special securitization law is preferred to amending each relevant laws and rules in order to get rid of legal barriers and contradictions for true sale securitizations. In addition, strong governmental supports will facilitate and accelerate the process of true sale securitization market development. The similarities between the German and Chinese financial system is the main incentive for this study. Both Germany and China have a financial system that is dominated by banks and at the same time features a weak capital market. Banks are the main external financing sources for domestic corporations. Furthermore, in both countries banks are suffering losses and carrying burden of non-performing loans (NPLs), due to the bad [...]

Author : Justin O'Brien
Publisher : World Scientific
Page : 212 pages
File Size : 52,7 Mb
Release : 2009-07-13
Category : Business & Economics
ISBN : 9781848167186

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Engineering a Financial Bloodbath by Justin O'Brien Pdf

In July 2007, the then chief executive of Citigroup, Charles Prince, captured the hubris of a market dangerously addicted to debt: “When the music stops, in terms of liquidity, things will be complicated. But as long as music is playing, you have got to get up and dance. We're still dancing.” By the end of the year, Mr Prince was forced to resign along with some of the most influential bankers on Wall Street. Global investment houses in the United States and Europe were forced to turn to sovereign wealth funds for emergency funding. Their rescue comes at a significant material and reputational price. This book investigates the origins and implications of the securitization crisis, described by the chief executive of ANZ as a “financial services bloodbath”. Based on extensive interviews, it offers an integrated series of case studies drawn from the United States, the United Kingdom and Australia. A central purpose is to not only chart what went wrong within the investment houses and why the regulatory systems failed, but also provide policy guidance. The book therefore combines the empirical with the normative. In so doing, it provides a route map to navigate one of the most significant financial and regulatory failures in modern times. Contents:A Capital BattleThe Price of FailureApportioning BlameThe Moral Hazard of InterventionThe New MercantilismEnhancing Integrity Through Design Readership: General informed public, particularly readers of business publications such as the Financial Times, Wall Street Journal or Australian Financial Review; academics in political economy, governance and law; policymakers involved in the regulation of financial markets. Keywords:Sub-Prime;Securitization;Sovereign Wealth Funds;Banking Crisis;Financial Globalization;Banking RegulationKey Features:Provides a timely examination of the securitization crisis and how the modeling systems designed to diversify risk could in fact enhance it by spreading the contagion across global marketsPresents insights based on case studies and interviews conducted with leading academics and professionals in the financial, legal and regulatory communitiesWritten in an accessible manner with immediate relevance for a wide readershipReviews:“Justin O'Brien's new book is a sober examination of the global financial crisis and the perils of inadequate regulation … His thesis is a strong one: ethical failure was the primary cause of the financial meltdown … O'Brien is at his best when he allows his journalistic self to shine, particularly in his brief but excoriating coverage of the Irish banking fiasco. Ireland resembled a ‘crooked casino’ characterised by ‘staggering regulatory, corporate and political incompetence’.”The Irish Times

Author : Jennifer Taub
Publisher : Yale University Press
Page : 538 pages
File Size : 40,5 Mb
Release : 2014-05-27
Category : History
ISBN : 9780300206944

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Other People's Houses by Jennifer Taub Pdf

The clearest explanation yet of how the financial crisis of 2008 developed and why it could happen again In the wake of the financial meltdown in 2008, many claimed that it had been inevitable, that no one saw it coming, and that subprime borrowers were to blame. This accessible, thoroughly researched book is Jennifer Taub’s response to such unfounded claims. Drawing on wide-ranging experience as a corporate lawyer, investment firm counsel, and scholar of business law and financial market regulation, Taub chronicles how government officials helped bankers inflate the toxic-mortgage-backed housing bubble, then after the bubble burst ignored the plight of millions of homeowners suddenly facing foreclosure. Focusing new light on the similarities between the savings and loan debacle of the 1980s and the financial crisis in 2008, Taub reveals that in both cases the same reckless banks, operating under different names, received government bailouts, while the same lax regulators overlooked fraud and abuse. Furthermore, in 2013 the situation is essentially unchanged. The author asserts that the 2008 crisis was not just similar to the S&L scandal, it was a severe relapse of the same underlying disease. And despite modest regulatory reforms, the disease remains uncured: top banks remain too big to manage, too big to regulate, and too big to fail.

Author : Neil Fligstein
Publisher : Harvard University Press
Page : 334 pages
File Size : 47,6 Mb
Release : 2021-06-08
Category : Business & Economics
ISBN : 9780674259010

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The Banks Did It by Neil Fligstein Pdf

A comprehensive account of the rise and fall of the mortgage-securitization industry, which explains the complex roots of the 2008 financial crisis. More than a decade after the 2008 financial crisis plunged the world economy into recession, we still lack an adequate explanation for why it happened. Existing accounts identify a number of culprits—financial instruments, traders, regulators, capital flows—yet fail to grasp how the various puzzle pieces came together. The key, Neil Fligstein argues, is the convergence of major US banks on an identical business model: extracting money from the securitization of mortgages. But how, and why, did this convergence come about? The Banks Did It carefully takes the reader through the development of a banking industry dependent on mortgage securitization. Fligstein documents how banks, with help from the government, created the market for mortgage securities. The largest banks—Countrywide Financial, Bear Stearns, Citibank, and Washington Mutual—soon came to participate in every aspect of this market. Each firm originated mortgages, issued mortgage-backed securities, sold those securities, and, in many cases, acted as their own best customers by purchasing the same securities. Entirely reliant on the throughput of mortgages, these firms were unable to alter course even when it became clear that the market had turned on them in the mid-2000s. With the structural features of the banking industry in view, the rest of the story falls into place. Fligstein explains how the crisis was produced, where it spread, why regulators missed the warning signs, and how banks’ dependence on mortgage securitization resulted in predatory lending and securities fraud. An illuminating account of the transformation of the American financial system, The Banks Did It offers important lessons for anyone with a stake in avoiding the next crisis.

Author : Donald R. Chambers,Keith H. Black,Nelson J. Lacey
Publisher : CFA Institute Research Foundation
Page : 128 pages
File Size : 53,8 Mb
Release : 2018
Category : Business & Economics
ISBN : 9781944960384

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Alternative Investments: A Primer for Investment Professionals by Donald R. Chambers,Keith H. Black,Nelson J. Lacey Pdf

Alternative Investments: A Primer for Investment Professionals provides an overview of alternative investments for institutional asset allocators and other overseers of portfolios containing both traditional and alternative assets. It is designed for those with substantial experience regarding traditional investments in stocks and bonds but limited familiarity regarding alternative assets, alternative strategies, and alternative portfolio management. The primer categorizes alternative assets into four groups: hedge funds, real assets, private equity, and structured products/derivatives. Real assets include vacant land, farmland, timber, infrastructure, intellectual property, commodities, and private real estate. For each group, the primer provides essential information about the characteristics, challenges, and purposes of these institutional-quality alternative assets in the context of a well-diversified institutional portfolio. Other topics addressed by this primer include tail risk, due diligence of the investment process and operations, measurement and management of risks and returns, setting return expectations, and portfolio construction. The primer concludes with a chapter on the case for investing in alternatives.

Author : John B. Caouette,Edward I. Altman,Paul Narayanan,Robert Nimmo
Publisher : John Wiley & Sons
Page : 488 pages
File Size : 52,7 Mb
Release : 2011-07-12
Category : Business & Economics
ISBN : 9781118160695

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Managing Credit Risk by John B. Caouette,Edward I. Altman,Paul Narayanan,Robert Nimmo Pdf

Managing Credit Risk, Second Edition opens with a detailed discussion of today’s global credit markets—touching on everything from the emergence of hedge funds as major players to the growing influence of rating agencies. After gaining a firm understanding of these issues, you’ll be introduced to some of the most effective credit risk management tools, techniques, and vehicles currently available. If you need to keep up with the constant changes in the world of credit risk management, this book will show you how.

Author : Jennifer Romero-Torres,Sameer Bhatia,Sudip Sural
Publisher : Asian Development Bank
Page : 130 pages
File Size : 50,8 Mb
Release : 2017-11-01
Category : Business & Economics
ISBN : 9789292579845

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Securitization in India by Jennifer Romero-Torres,Sameer Bhatia,Sudip Sural Pdf

India needs to spend close to Rs43 trillion (about $646 billion) on infrastructure through to 2022. Such a staggering requirement cannot be met though traditional sources such as public sector bank loans. India must immediately explore and quickly ramp up financing from alternative investment sources. This report provides an overview of infrastructure financing in India, sheds light on the challenges faced by the country's banking sector, suggests an optimal mechanism for securitizing the infrastructure assets of public sector banks, and outlines a range of scenarios and factors that must be in place for this mechanism to be successfully realized.