******** SecuritizationNameInstitution                 Mortgage **************************************** ******** ****** illiquid ****** or * ***** ** any assets ***** are *********** ********** *** *********** ** * **** ** security (Kruger ***** An ******* of a ************** ******* ** *** *************** security * ********** of ********* ***** part ** the ************ ******** ****** the ****** ********* ****** ***** were ********* ***** ** expansive ****** ** securitization ********** *********** ***** **** ******* ********* ** transfer ****** **** **** of *** ******* **** **** **** in *** ******** of ****** risks *** ********* ************** and ****** *********** ****** ************** ******** individual bank loans *** ***** ***** ** ********* ****** ***** are *********** **** ******** securities and **** to investors *** ********* ****** **** ******** ** ********* led ** *** ********* ** ************* ********** ***** **** the ******** ***** ***** *** ************ can securitize ****** books ************ assert **** ***** *** ***** *** ******* ** *** *********** loan when **** have ********* ********** ** risk profiles *** ** done ** banks when ******** ***** are ******* ** ******* investors *** process ** selling **** ********* to ********* **** as financial ******** In its ***** ***** *** securitization ** mortgages *** viewed ** a ***** ********* ********** **** *** ******** ** ******** credit **** ***** *** 2007/2008 financial ****** some researchers ****** mortgage ************** *** the ********* losses *** ******* was however *** **** the securitization ** ********* *** **** the poor ******** ethics *** ******* ********** The paper proposes that *** financial ****** *** *** * *********** of *********** ********* but * result ** poor ******** ethics and ********** regulationsReview ** *** ******************* ** ****** *** ********* ****** ************** ******** *** *** ********** ** ******* and ********* ******* is ******* ** *** *********** ** a ***** ** cash ********** assets ******* ******** ********* ****** **** are ******* ** *** **** class **** as ********* *** ******* ** ******* *** ****** is ** ****** *** risk of *** ********** ****** within *** **** Tranching ******** ********** **** ***** ** *** ****** asset ** ********* tiers It ****** involves grading *** ****** ****** ** *** ********** risks ***** ** ****** tranches **** * higher ***** ** *** **** flows **** those on ***** tranches ********* influences *** ******* ** *********** ***************** ************** is pursued ** banks for several reasons ********* ** Bensalah *** ******* ****** many ***** ****** ************** for ********* ******* regulatory ******* arbitrage *** **** ******** *** ***** have * ********** ** *********** the ************** ***** ********* ****** **** ******** is ******* ******* the ************** ** ************* ****** Before *** ****** ***** used securitized ********* *** **** transfer (Buchanan 2016) ***** *** ****** ***** started ***** *********** mortgages *** ******* arbitrage *************** and ******** ****** ******** ******** ************** *** ******** loan performance Spreading *** *************** ** risk makes ************** ** ****** ** ********** ****** *** ******* ******** *** **** *************** ** ********* maintained ** *** ******** ******* ** those **** **** *********** *** assessment ****** *** between **** *** **** *** ******* ********* that lender ******** mortgages were less ***** **** *********** mortgages *********** ********* ** ******* ***** **** ******* **** *********** mortgages ** ********** ***** (Lysandrou ***** Nesvetailova ***** *********** ********* to ******* *********** were ***** and *** ******* tried to spread ***** risk *** ********* **** *** ****** retained mortgages was less ***** than *** *********** mortgages implies **** lenders ********** *** risks ********** with the *********** ********* ***** ******* their credit *********** since **** could ****** ******* *** ********* ** *** ************** marketsOn the ***** **** the ***** ***** to ****** the **** ***** ********* ** ***** portfolio **** is * ***** ********** that ***** understood the **** ***** ********** with *********** ********* *** lack ** adequate *********** ******* banks ** *** ************** *** loans **** **** **** ******** ** ******* securitization was *** * risk *** **** as a tool ** hide *** ******** ****** **** ** *** marketUnderstanding *** ******* market ** ******** ** understanding ******** securitization ******* ** *** primary assets ** mortgage securitization Canepa *** ****** ****** ******** ***** ******* **** *** ****** to *** ******* industry *** *** ********** credit **** *** ***** ************ *** characteristics ** *** non-performing ***** ** *** ******* ****** *** ******* ******** *** ******* of ************* *** ************ ** the ******* market *** ************* conditions **** ********** to **** ****** ************ ** ****** **** Household ************* *** *** household ************ had * positive effect ** ****** **** *** study recommends **** the housing ******* *** volatile *** are ******** ** *** ******* patterns ** *** economy *** *********** ** ***** ** **** ** ******** borrowers ********* the ******* ****** ***** ** turn ********* the ******* ****** ******* an ******** ** * ***** increase *** *********** ** ******* According ** ****** *** Khaled ****** strict **** ** the housing market ** essential ** ********** credit **** ********** such ** setting ***** ******** *** **** ** more stable ******* markets *** ******** ******** risksBonavita ****** asserts **** the ******* ** ***** ************** ****** ****** ********* ***** the ********* financial ****** ******** ********** that *** ******** ** ************ ************** *** * poor ********* structure *** to opportunistic ********* that *** to the ********* crisis Looking at *** ****** **** * ********** *********** instead ** * **** perspective provides a ***** *********** ** *** ******** ************** ***** ******** ********* the ***** *** risk transfer ******* of mortgages ************** *** ******* stipulates **** all ********* ****** require some **** of ***** ************* ** ********* **** ***** ** * consideration ** the ***** ************** ***** ** ***** ********* ** the ***** justification *** paper explores *** **** *** ***** ********** ** *** ***** ** * securitized asset Instead of focusing ** the risk ****** ** the ***** ******** (2016) ********* *** * ***** approach ****** explaining the financial ****** ****** Bonavita ******** **** disciplining ******* *** *** risks *** ** the ********* crisis ******** ******** **** *** lack of ******** ********** ******** the ***** with ** opportunity to ********** the system ************** ** *** a **** *** * ******** ** *** legal ********* **** allow ***** and ***** ********* institutions ** create ****** where **** ****** The relaxation ** *********** ***** ** ****** ********** bases ** *** financial ******** The ******* ***** ** ****** a ****** that ***** ************** ** * ******** in *** ***** apparatus **** ******* *** *********** of *** ********* *********** securitization seems ** **** ******* *** *********** ******** ** *** ******* sector ********* ** ** ********* *** *** ****** ********* *** ****** ** ************** ** *********** ********* ****** *** 2008 ********* ****** *** ***** *** ****** Before *** ********* crisis *** risk-taking behavior ** banks was very **** *** banks ******** high-risk ********** ****** the ********* crisis ***** *** other ********* ****** in the premise **** ************** *********** ***** ***** ********* moves ****** *** financial were ***** ** *** ********** **** securitization ******** ********* **** the actual ********* ***** ** the ******* ****** ****** ******** and lax *********** implied **** banks *** * higher risk ******** Le Narayanan *** Van (2016) *********** **** *** bank’s ******** ** **** ******* ***** the ********* crisis ******* institutions minimized ***** **** ******** and ********* ***** *********** ** securitization *** ***** ******** that ************** ** mortgages *** not shield **** **** *** ****** risks The economic ****** that ******** many banks were proof that the securitization of ********* *** not an ********* ******* **** *** housing ****** risks A new ********** that resulted **** *** financial ****** **** ********* banking institutions **** ********** with ********* ******** ** ******** ************** ** Narayanan *** Van *********** that ******** securitization ********* *** risk ******** *** ***** *** ***** ************ ***** *** ************ ********* crisisKara ***** ***** ******** (2016) ******* * literature ****** ** the banking **** **** ** ********** with securitization ************** *** **** ****** for *** ********* crisis ** ********* Surprisingly the ****** ********** ****** *** ****** ********** securitization as * ****** and **** diversified ******** that ********* *** **** ******** ** the ******* **** ***** ***** ******** ****** ********** that ************** ***** ***** *** ***** to retain ***** loans minimize ********* *** ********** ***** ********** the **** ******** *** banks *** *********** ******** **** ********** ** regulations ********** the ****** ** market securitization Efforts ** ******* the ********** ********* ** *** mortgage securitization ****** *** ******* *** **** ********* ** securitization ************* *** ****** ** ******* *********** **** alter *** ******* ***** ** the securitization ******************* & ***** (2018) confirm *** ****** **** ************** *** ******* ****** *** *** **** ******** meltdown *** **** ****** ***** ********** *** of *** ***** ******** ****** **** ******* 2004 to **** **** equity ***** **** tracked ** * database **** ********** *** the *** ** **** *** study ***** **** the *********** home ****** loans had higher default and ********** risk **** ***** ***** in *** ******** ********** ************* ***** ***** claim **** **** ** ** **** **** the ******* ********* ****** *** ************** ******* *** **** **** ************** ******* **** ** ********** ** *** article ******* the article ******** **** ***** ** ****** **** ********* *** most assets ****** securitization ************* ***** ***** **** to ******* **** ************** ********** ***** to ****** ********* risks ** *** ****** *** ********* **** ** *** market ** ********* ***** most of *** ******* undermine *** **** **** ** *** securitized ********* Lenders *** borrowers ** *** market seem ** ignore *** credit **** ***** ** *** *********** **** equity ***** **** *** included ** mortgages *** ****** ** securitized home ****** loans ** ********** ** one of *** main ****** of *** ********* collapse ******** ***** **** investors ******* *** risk ********* ******* ** ************** Despite *** lemon ****** in *********** mortgages *** ******* **** ****** ** **** ******** ************** increases ****** **** since ** leads ** *** *************** ** **** ********* **** make ****** ********* ***** ignoring *** ****** ***** that ******** securitized mortgagesMany ******* have ****** ** defend *** concept ** ************** ** ********* **** ***** perceived ** *** root ***** of *** ********* ****** **** ***** ******** ** defend *** securitization ** ********* *** **** **** ******* ** ******** ****** *** *********** **** *** ******* ****** ** *** ********* ********* crisisMethodologyThe ***** ******** **** *********** and quantitative ******** ******* *** ******* data **** ** ********* through *** *** of ****** ************** to ********* ******** experts *** ******* **** *** collected **** ************* ******** on the ** ****** ******* *** selection of *** ******** involved *** use of *** ********* ******** ************** securitization of ********* ****** ** ********* ********* ****** *** credit risk *** ******* **** **** **** relevant to *** ***** were selectedConclusionSecuritization is * *********** part ** *** evolution ** *** financial ******** *** ************** ** mortgages *** **** ****** for the 2007/2008 ********* ****** ******** ******* shows **** it was *** **** ethics *** lack ** ********** **** led ** *** ********* ****** ********** & Roehrkasse ***** Banking *********** **** *** *********** ************** markets to ******* in ***** investments *** ***** used ** ***** ********** mortgages *** ** ***** *** **** ****** them ** unsuspecting investors ** securitize mortgages *** ***** ******** the **** ***** ********* ** ***** ******** portfolio *********** ** *** ************** ****** **** limited *** ******* *** banks ** ****** **** securitized mortgages ** ***** that ************** *** *** a ******* ** ***** ********** ** the current *** ***** **** punished through ******** ****** as *********** **** ******** * **** regulated ****** *** ****** ******* ********* led ** ****** ******** securitization *** ********* ************ are **** ******** ** avoid ****** as well ** ********** ***** ** is ***** **** ****** and poor ********** ************ *** ** the ********* ************************************************* * * ****** *** **************** ** **** *** the ******** ****** ****** ** *** **************** ** ******* *** ****** ***************** N ***** ******* * ****** What ******** *** ******** ** US ********** ***** ** *************** ****** ** ********** *** ******* 15(3) *************** J (2016) ***** Securitisation ** ******** Risk Transfer ** Legal *************** ******** ******** ************ Law ****** ******* 15-39Buchanan * * ****** Securitization: * ********* ******* *** *** ******** Journal ** ******** ****** ****** 559-577Canepa * ***** ****** * ****** Housing Housing ******* *** ****** Risk International Journal ** ********* ******* **** ******** R ***** Bernstein * ****** **** Lies ****** *** ********** ** ************ ************** ******** Loans ******* ** ********** Finance ***** *********** * ***** ********** * F ****** *** ****** ** ***** in the ********* ****** of 2007 to ***** ******** **** *** *************** ********** ******** ******** ************ Review ***** *********** * Ozkan * ***** ******** * ****** Securitisation *** banking risk: what ** ** **** ** **** Review ** Behavioral ******* 8(1) 2-16Krainer * ***** ******** * ****** ******** **** ************** and ******** **** *********** ******* ** ********* ******** ******** ***** *********** * ****** The ****** ** mortgage ************** ** foreclosure and ************ ******* of ********* ********************** * ***** Zhang * ****** ******* ********* in the Home ****** **** ** ****** ****** ******* ** **** Estate ******** 40(3) ********* * * T Narayanan * * ***** *** ** L (2016) *** *** Effect ** ***** Securitization ** **** **** Taking ******** ******** ******* of ********* Services ******** 49(1) 39-64Lysandrou * ***** ************ * (2015) *** **** ** ****** ******* entities ** *** ********* ******* * ************* **** ****** ** International ********* ******* ***** ************* * * (2017) The 2007–2009 ********* crisis: ** erosion ** ethics: * **** ***** ******* ** ******** Ethics ****** ***************

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