In this article we will discuss about the meaning and process of debt securitization. Meaning of Debt Securitization: It is the process of converting mortgage loans together with future receivables into negotiable securities or assignable debt is called 'securitization'. The Securitization process involves packaging designated pool of mortgages and receivables and selling these packages to the various investors in the [...]
The following points highlight the top four international capital market instruments. They are: 1. Global Depository Receipts 2. Foreign Currency Convertible Bonds 3. American Depository Receipts 4. External Commercial Borrowing. Instrument # 1. Global Depository Receipts: Global Depository Receipt (GDR) is an instrument which allows Indian Corporate, Banks, Non- banking Financial Companies etc. to raise funds through equity issues abroad [...]
In this article we will discuss about how negative externality becomes a source of economic inefficiency. Suppose John an ambitious rock musician, resort to the practice of playing electronic guitar, every day for five hours in his house. However John’s immediate neighbor, Peter does not enjoy listing to the ear-storming guitar notes. The practice time of John differs from socially [...]