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Credit Enhancements in a Securitization

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  • INTERNAL enhancements include subordination (a feature of tranching; a senior tranche is protected by subordinate tranches), overcollateralization (which includes direct equity, holdback and cash collateral account)…more »INTERNAL enhancements include subordination (a feature of tranching; a senior tranche is protected by subordinate tranches), overcollateralization (which includes direct equity, holdback and cash collateral account) and an excess spread. EXTERNAL ... « less
  • Added October 3, 2008

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