Effective short term management of excess liquidity
Short term source of liquidity
Pricing is negotiable
Capital preservation and portfolio diversification
Securitization and Notes
Securitized loans involve the pooling of loans together and selling their related cashflows to investors. As a bank with illiquid credit products (i.e. customer loans or specific forms of illiquid bonds), these products can securitized and sold to clients. Hence, helping meet the liquidity needs of the bank.