Asset-Backed Security (ABS) Instrument and Market Features
Free CFA Level I lesson in Fixed Income. 11 min read, ~1,689 words.
© CFA Institute. Reproduced under EPP listing. - describe characteristics and risks of covered bonds and how they differ from other asset-backed securities. - describe typical credit enhancement structures used in securitizations. - describe types and characteristics of non-mortgage asset-backed securities, including the cash flows and risks of each type...
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What this lesson covers
- Content
- Example 1
- Example 2
- Common Mistakes
- Key Takeaways
- Exam Shortcuts
Learning objectives
- instrument features
- cash flows and types
- issuance and trading
- markets for corporate issuers
- markets for government issuers
- bond valuation prices and yields
- yield measures fixed-rate bonds
- yield measures floating-rate instruments
- term structure spot par forward
- interest rate risk and return
- yield-based duration measures
- yield-based convexity portfolio properties
- curve-based and empirical risk measures
- credit risk
- credit analysis government issuers
- credit analysis corporate issuers
- securitization
- ABS instrument and market features
- MBS instrument and market features
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