Why is it important to have assets restructured in a bond issue?
The purpose of bond issuing is to borrow the necessary amount of loan sufficiently enough to fund the development of a project. In order to structure an Asset-Backed Security (ABS) product, the nature, value and quality of the underlying assets (collateralised assets) of a bond are sensitive to its overall marketability, pricing, credit quality and risks involved. Listing of a bond is very different from the listing of an enterprise in many ways since the issuer of a bond in most cases is either a listed company or if it is a private company, it has to meet certain shareholder s funding as well as asset value requirements, and to the extent of its unilateral nature of each bond, the process involved with such an issue of bond is nevertheless more straight forward and less prudent in their scrutiny of the application than stock listing as viewed by the exchange. The winning solution of an issue is to balance all parties interests which include the issuer, sponsors, investors and other s
