What is the limitation of a third-party guarantee as a form of credit enhancement?
Answer to relevant QuestionsAn asset-backed security has been credit enhanced with a letter of credit from a bank with a single A credit rating. If this is the only form of credit enhancement, explain whether this issue can be assigned a triple A ...What factors do the rating agencies consider in analyzing the structural risk in a securitization? How does a CDO differ from an ABS transaction? Why is the MPR for credit card receivable-backed securities important? What are the two types of mortgage REITs?
Post your question