When financial assets or bonds are pooled together and, Ask an Expert

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When financial assets or bonds are pooled together and offered to the investors for receiving the inflow of funds from these underlying assets, they are termed as asset-backed securities. These comprise mostly the receivables such as credit card receivables, auto loans, car loans, housing loans, etc. Mortgage-backed securities are a type of asset-backed securities that are secured by a pool of mortgage loans.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M9506794

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