Asset Securitization and Optimal Retention /

This paper builds on recent research by Fender and Mitchell (2009) who show that if financial institutions securitize loans, retaining an interest in the equity tranche does not always induce the securitizer to diligently screen borrowers ex ante. We first determine the conditions under which this s...

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Bibliographic Details
Main Author: Kiff, John
Other Authors: Kisser, Michael
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2010.
Series:IMF Working Papers; Working Paper ; No. 2010/074
Online Access:Full text available on IMF