Some of the benefits of the traditional vanilla securitisation products are as under: For originators i.  Securitisation frees up an originator’s capital by removing the assets from the balance sheet. This way, capital is now available for origination of fresh assets with profitability potential. ii.
Through Securitisation, an originator with a relatively lower credit rating but with better rated cash flow would be able to borrow/raise funds against such higher rated cash flows at cheaper cost. iii. It improves the liquidity position of the originator as the future receivables are replaced by cash. BIS central bankers’ speeches  1  iv.