Securitization is the financial tool used to convert assets into negotiable securities. Securitization can transform relatively liquid assets into securities and transfer the associated risks to the investors purchasing such securities. Asset-backed securities have the promise of future payment of the principal and its yield, based on the cash flow originating from these assets. A securitization transaction can be a loan in which securities are used as collateral, or loans and other assets converted into notes or bonds that can be sold to investors.

TrendBank purchases credit assets from companies. These result from their term sales or services already rendered

This service is recommended for companies without prompt cash availability for paying their suppliers. Under this service, TrendBank acquires a sales agreement entered between its client company and that company’s drawee. This enables the company to secure cash advances for purchasing raw materials and consequently benefit from cash payment discounts.