Book description
In this long-awaited handbook, noted experts Charles Stone and Anne
Zissu provide an enlightening overview of how securitization works and
explain how future cash flows from various asset classes-from credit
card receipts to mortgage payments-can be packaged into bond-like
products and sold to investors.
Once a marginal source of funds, securitization is now an essential
corporate funding technique widely adopted by financial and industrial
companies throughout the world to finance both working capital and
capital budgets. It is also used as a risk-management tool and a source
of liquidity. Securitization has been adapted to fund corporate
acquisitions, to capitalize future streams of revenue, and to liquidate
pools of nonperforming loans.
With examples from companies such as GE Capital, Ford Motor Credit,
Countrywide Home Loans, and D&K Healthcare, The Securitization
Markets Handbook
provides descriptions of all major classes of asset-backed securities
and offers a practice-oriented commentary on trends in securitization
and the value of asset- and mortgage-backed securities across industries
and throughout the global markets.
The authors approach the topic from both sides of the market: the supply
side, where assets are securitized and mortgage- and asset-backed
securities are issued, and the demand side, where investors choose which
classes of mortgage and asset-backed securities will enhance their
portfolios or serve as efficient hedges. The book's detailed
explanations and practical examples make it a valuable guide both for
experienced money managers trying to put a securitization strategy into
place and for those new to securitization looking to acquire a broad and
strong foundation in the subject. Charles A. Stone
and Anne Zissu
are the founding editors of The Financier
(www. the-financier. com) and The Securitization Conduit
(www. asset-backed. com), quarterly publications providing commentary
on corporate finance, risk management, securitization, and related
topics. Stone is visiting professor of finance at Université Paris
Dauphine; Zissu is professor of finance at Temple University in
Philadelphia. They have edited several books on finance, and their
research has been published in leading academic journals. They reside in
Philadelphia.
