Structured Debts definition
Structured Debts means “Financial package (off-balance sheet) which consists of issuing securities backed to a basket of assets (receivables, inventories, buildings, consumer loans, mortgages, etc) and based on the quality of the collateral they offer or their level of risk. The underlying assets are virtually "transformed" into assets, hence "securitization". Income paid to the holder of the asset are derived from the underlying assets products, hence Asset-Backed Securities (ABS), Collateralised Bond Obligation (CBO), Collateralised Debt Obligation (CDO), Collateralised Mortgage Obligation (CMO), Mortgage Back Security (MBS), Commercial Mortgage Back Security (CMBS), Residential Mortgage Back Security (RMBS), Collateralised Loan Obligation (CLO).”