Question
Why are SPVs used in structured finance issues?
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Answer
To isolate assets from the originator's credit risk.
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Question
In an ABS structure, what is the trustee's role?
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Answer
Holds assets in trust and ensures payments follow the trust deed.
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Question
What does securitization mean in fixed income?
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Answer
Pooling assets and issuing securities backed by their cash flows.
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Question
Why is an SPV used in a securitization structure?
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Answer
To hold assets separately and make them bankruptcy-remote.
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