ACI
3I0-012 · Question #296
Which of the following both provide credit enhancement to a true-sale securitization?
The correct answer is A. reserve account and third-party insurance. See the full explanation below for the reasoning.
Question
Which of the following both provide credit enhancement to a true-sale securitization?
Options
- Areserve account and third-party insurance
- Bsubordinated tranches and creditworthiness of the originator
- Ccreditworthiness of the originator and third-party insurance
- Dreserve account and interest rate hedging
How the community answered
(14 responses)- A71% (10)
- B7% (1)
- C7% (1)
- D14% (2)
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