Glossary

An asset-backed security (ABS) is a financial security backed by a loan, lease, receivables, listed assets or shares of a company.

Securitization is the process through which an issuer creates a financial instrument by combining other financial assets and then marketing different tiers of the repackaged instruments to investors, and this process can encompass any type of financial asset and promotes liquidity in the marketplace.

Bond with a maturity period of five years or less.

Entity (usually a bank) that pays a bond issue’s periodic interest and principal to the bondholders on behalf of the bond issuer.

Date on which a security is issued. In case of a bond, the date from which a bondholder is entitled to receive interest irrespective of the date the bond was purchased or delivered.

Date on which a contractual agreement, financial instrument becomes due for settlement.

The Programme is the keystone for the bonds/notes issued by the Issuer. Approved by the Board of the Issuer, it is the document which defines the rules under which the Issuer issues the bonds/notes to be purchased by the investors and the roles of all the actors taking part in the issuance