Structured finance

financial instruments that belong to the group of asset-backed securities and structured credit products

security with value derived from a commodity or asset

asset-backed security secured by one or more mortgages, aggregated and packaged into a security that investors can buy

pre-packaged investment strategy

In structured finance, a tranche () is one of a number of related securities offered as part of the same transaction. In the financial sense of the word, each bond is a different slice of the deal's risk. Transaction documentation (see indenture) usually defines the tranches as different "classes" of notes, each identified by letter (e.g., the Class A, Class B, Class C securities) with different bond credit ratings.

form of funded credit derivative

non-bank financial institution

term

repaying a loan ahead of schedule

type of derivative in finance