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Securitization
The financial process of pooling various types of contractual debt, such as mortgages or loans, and selling them as consolidated financial instruments to investors.
Mortgage Pass-Through Security
A type of investment that pools mortgage loans together and allows investors to receive payments derived from the underlying mortgages.
Convertible Bond
A type of bond that can be converted into a predetermined amount of the issuing company's equity at certain times during its life, usually at the discretion of the bondholder.
Market Value-Weighted
An index strategy where each component of the index is weighted according to its market capitalization, reflecting the proportionate value it represents.
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