Securitize
Definition, Meaning & Examples
Part of speech verb
Quick meaning: Securitize is a verb meaning (finance) To convert assets or claims (typically outstanding loans or other receivables) to securities, usually by selling them with a discount to a financial intermediary, which pools them with other similar assets and sells further as securities to third-party investors.
Meaning
(finance) To convert assets or claims (typically outstanding loans or other receivables) to securities, usually by selling them with a discount to a financial intermediary, which pools them with other similar assets and sells further as securities to third-party investors.
Example Sentences
Once the private sector had discovered securitization, it securitized any claim imaginable, from residential mortgages to receivables for products and services from cars to credit cards and student loans; the original policy goal of lowering the costs of credit for homeowners gave away to minting as much private money (or debt) as investors demanded.
Word Forms
- securitizes
- securitizing
- securitized
Related Words
Related dictionary entries include securitise, sequester, deposit, ringfence, adjudicate, seise.
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Sources & Attribution
FreeDictionaryAPI.com / Wiktionary · Original source · CC BY-SA 4.0
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