The act of buying a share in a loan syndication with limited contractual control and rights over the borrower is called a

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The act of buying a share in a loan syndication with limited contractual control and rights over the borrower is known as a loan participation. Option A, correspondent loan, is a type of loan where the lender originates the loan and then sells it to another financial institution. Option B, loan assignment, is the transfer of a loan from one lender to another, and the new lender takes on all of the rights and obligations of the original loan agreement. Option C, HLT loan, is not a commonly used term in finance, and there is no clear definition for it. Option E, distressed loan, refers to a loan where the borrower is in financial distress and may not be able to make timely payments on the loan.

The Act of Buying a Share in a Loan Syndication