In the world of corporate finance, a large segment of debt capital traditionally has been raised by issuing secured debt.
FAS 140 Transfers Exposure Draft: A Primer for Structured Finance
In the world of corporate finance, a large segment of debt capital traditionally has been raised by issuing secured debt. In structured finance transactions, by contrast, money is raised by selling financial assets, such as mortgage loans, leases, auto loans or student loans, to a separate special purpose entity (an "SPE"), that often is a subsidiary of the seller, and causing that entity to issue securities backed by those financial assets.
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