How come " Home equity line of credit" is the assets in the balance sheet? Please add some comments
Which of the following types of assets are least likely to be securitized as asset-backed securities (ABS)?
A) Auto loans. B) Home equity lines of credit. C) Insurance policies.
Your answer: B was incorrect. The correct answer was C) Insurance policies.
Insurance policies are not assets securitized in ABS structures. Home equity lines of credit and auto loans are often securitized.