Securitization

Securitization is the process by which assets are sold on a without recourse basis by a seller to a special purpose entity. In return, asset-backed securities are issued by a special purpose entity which depend, for their payment, on the cash flow from the underlying assets so sold. BDO Capital underwrites or acts as selling agent for asset-backed securities issued by such special purpose entities.

Asset-Backed Securities. Certificates issued by a special purpose entity representing undivided ownership interest in an asset pool or a group of identified, self-amortizing assets that is conveyed to a special purpose entity issuing the asset-backed securities.