Financial Concepts Related to the Securitization of Fixed Income Markets Financial Essay
Securitization is the financial practice of combining different types of contractual debt, such as car loans, and selling the associated cash flows to outside investors. This chapter also discusses the securitization of illiquid assets to create fixed income securities. Bonds, like shares, are first issued on the primary markets. Securitization enables credit expansion through greater leverage of the financial system as a whole. Securitization by itself cannot increase financial stability if the global financial system is highly concentrated. Global financial intermediation is mainly carried out by major LCFIs, which operate in a handful of jurisdictions and transact through a few payment and settlement platforms. The term 'large complex financial institution' or 'LCFI' was coined by the Bank of England in its Good Finance Essay Topics. The impact of the gig economy on personal finance management. The role of technology in shaping the future of finance. Analysis of the ethics of tax avoidance and tax evasion in the business world. The importance of financial education in modern society.