Fremont is a third option to finance its loan portfolio, which includes the sale and securitization of small business loans in the capital markets. Emphasizes asymmetric information and moral hazard problems involved in the development of asset securitization. When used in conjunction with (A), the sequence highlights the relative strengths and weaknesses of institutions and markets in providing solutions to financial problems. "Hide
by Erik Sirri, Ann Zeitung Source: Harvard Business School 9 pages. Publication Date: Mar 04, 1994. Prod. #: 294099-PDF-ENG