Securitisation is now used in a variety of different industries. In the music industry, for example, rock

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Securitisation is now used in a variety of different industries. In the music industry, for example, rock stars such as David Bowie, Michael Jackson and Iron Maiden have used this form of financing to their benefit.

Required:

(a) Explain the term ‘securitisation’.

(b) Discuss the main features of this form of financing and the benefits of using securitisation.

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