Which of the following is not accomplished by securitization of assets?
A)Increases the liquidity of assets.
B)Provides a new source of funds.
C)Increases the costs of monitoring.
D)Decreases the duration of assets.
E)Decreases the costs of regulation.

Question

Quizplus · Accepted Answer

Securitization generally does not increase the costs of monitoring. Instead, it can actually improve monitoring since investors are more likely to scrutinize the underlying assets in a securitized pool.

Which of the Following Is Not Accomplished by Securitization of Assets