🔵 WHAT ARE TRANCHES❓
▶️ Tranches are segments created from a pool of securities—usually debt instruments such as bonds or mortgages—that are divided up by risk, time to maturity, or other characteristics in order to be marketable to different investors. Each portion or tranche of a securitized or structured product is one of several related securities offered at the same time, but with varying risks, rewards and maturities to appeal to a diverse range of investors.
▶️ Tranche is a French word meaning slice or portion.
▶️ They are commonly found in mortgage-backed securities (MBS) or asset-backed securities (ABS).
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💰 @Exchange 🪙
▶️ Tranches are segments created from a pool of securities—usually debt instruments such as bonds or mortgages—that are divided up by risk, time to maturity, or other characteristics in order to be marketable to different investors. Each portion or tranche of a securitized or structured product is one of several related securities offered at the same time, but with varying risks, rewards and maturities to appeal to a diverse range of investors.
▶️ Tranche is a French word meaning slice or portion.
▶️ They are commonly found in mortgage-backed securities (MBS) or asset-backed securities (ABS).
━━━━━━━━━━━
💰 @Exchange 🪙