Securitization of loan portfolios, such as credit card loans and mortgage loans, will occur if
A) the financial market will pay more for the loan portfolio than the issued asset- backed securities.
B) the financial market will pay more for the issued asset-backed securities than the loan portfolio.
C) a financial guarantee is obtained from a commercial bank.
D) the borrowers permit their loan to be securitized.
E) both a and d
Correct Answer:
Verified
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