1.After 2005, Securitization was a huge cost to banks and offered very little benefit. This is why the Federal Government had to promote securitization.
True or false? Why?
2. Securitization is effective at enabling financial institutions to diversify risk.
True or false? Why?
Securitization of mortgages enabled various dimensions of risks embedded in pools of mortgages to be distributed to investors with varying degrees of tolerance for credit and interest rate risk and with differing expectations about the future path of economic valuables. Before securitization, the bank that originated a pool of m
As an assistant vice president at a regional bank, your boss has tasked you to acquire $100 million of residential mortgages to be securitized in a pass-through MBS. There must be between 250-300 mortgages in the portfolio, none of them with a maturity below 200 months or greater than 360 months. In the interest of time, your bo
Asset Securitization is a major factor in financial markets. What does Asset Securitization provide to markets? What kinds of assets get securitized?
Do you think computerization and globalization have an impact upon;
1. The types of assets that get securitized?
2. The amount of assets (both value and number) that get
There are 4 questions. However, I don't know how to do #2. I have to read the article and answer the question. Can you help me in #2?
1. What's securitization? How does it encourage lax mortgage lending?
2. What key role were rating agencies supposed to play in managing the risk? Associated with securitization? In partic
Regulatory arbitrage as it relates to securitization in the 1980s stems from the fact that financing mortgages was less costly in the capital markets than on the balance sheets of thrifts
True or false? And please tell me why.
1.) What are the different types of alternative investment vehicles? Which is preferable and why? What factors could affect the choice of such a vehicle?
2.) What are derivatives, and how might they be used to manage a portfolio?
3.) What is an individual retirement account (IRA)? Is it important to have an individual reti
Goldman Sachs lost billions of dollars in arranging, underrating, selling and trading synthetic CDOs between 2004 and 2007. This was one of the main causes of the financial crisis.
True or false and why?