Securitization benefits investors by:
A) providing more direct access to a wider range of assets.
B) reducing the inherent credit risk of pools of loans and receivables.
C) eliminating cash flow timing risks of an aBS, such as contraction and extension risks.

Question

Quizplus · Accepted Answer

Securitization allows investors to access a diverse range of assets that they might not be able to invest in directly, thus providing more direct access to a wider range of assets.

Securitization Benefits Investors By