Securitization involves issuing bonds whose coupon and principal payments arise from another existing cash flow stream.

Name: Securitization involves issuing bonds whose coupon and principal payments arise from another existing cash flow stream.
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Quizplus · Accepted Answer

This is the correct definition of securitization. The cash flow stream typically comes from assets such as mortgages, auto loans, or credit card receivables, and the bonds issued are backed by those assets.

Securitization Involves Issuing Bonds Whose Coupon and Principal Payments Arise