We can facilitate securitisation across a number of sectors and activities
Securitisation in Luxembourg: How it works
Securitisation is the conversion of an asset, a risk, a future cash flow, into marketable securities, typically for the purpose of raising fund, creating liquidity, or transferring a risk by selling the securities to external investors.
The Securitisation SPV can be used in multiple sectors and for a range of asset classes and issue many type of tailored-made financial securities.
The Owner of the asset (originator) may create liquidity by selling the future cash flow to an SPV (linked benefit). The investor will find enhance yield linked to the underlying asset (linked to benefits).
Find out how the Securitisation works step by step
Step 1 of 4: The Originator holds an asset generating cash flows and income
Step 2 of 4: The Promoter/arranger sets up a Securitisation Vehicle (SV) which acquires the Asset from the Originator
Step 3 of 4: The SV issues Notes to the Investors and use the proceeds to pay the acquisition price of the asset the Originator
The asset generates an income pays to the SPV and the investors receive a yield (Coupon or Gain) linked to the income generated by the asset
Step 4 of 4: The Investors holds the Notes and receives a yield linked to income generated by the Asset.
Find more about the securitisation process
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