Examples of Credit enhancement facilities in a sentence
Risk mitigating measures: Credit enhancement facilities (including cash, guarantees, excess interest spread, subordinate tranches), liquidity facilities and payment structure are studied in relation to historical collection and default behaviour of the asset class to ensure adequacy of credit enhancement in a stress scenario.
Credit enhancement facilities may take the form of a first or a second loss facility.
Credit enhancement facilities include all arrangements that could result in an ADI absorbing losses of a SPV, its investors, or any providers of liquidity and other facilities.
Credit enhancement facilities include all arrangements that could result in a facility provider absorbing losses of the investors in a securitisation transaction.
Credit enhancement facilities include all arrangements provided to the SPV that could result in a bank absorbing losses of the SPV or its investors.