ABSTRACT
Securitization is defined in the broadest sense, for this analysis. It means connecting the suppliers of funds directly with the users: via a market for securities, rather than through an intermediary bank. That market only has to be sufficiently organized to give investors confidence that they will be able to turn their financial asset into a liquid form when they wish, rather than having to adopt a ‘buy and hold to maturity’ policy which would require a continuous, and close, involvement with the issuer.
