securitize

verb

se·​cu·​ri·​tize si-ˈkyu̇r-ə-ˌtīz How to pronounce securitize (audio)
-ˈkyər-
securitized; securitizing

transitive verb

: to consolidate (something, such as mortgage loans) and sell to other investors for resale to the public in the form of securities
securitization noun

Examples of securitize in a Sentence

Recent Examples on the Web Courtesy of Fannie Mae Started during the Great Depression, Fannie Mae today buys mortgages from lenders, securitizes them, and sells them to investors. Emma Hinchliffe, Fortune, 20 Mar. 2024 Student loan debt Student loans owned and securitized 2017201820192020202120222023 $1.2T$1.4T$1.6T$1.8T 11. Abha Bhattarai, Washington Post, 23 Dec. 2023 Basic functions—from the management of immigration to the construction of government facilities to community policing—have become heavily securitized, as have aspects of everyday life: travel, banking, identification cards. Ben Rhodes, Foreign Affairs, 24 Aug. 2021 Texas lawmakers approved a law that year allowing the costs to be securitized, so the utilities could spread them out over time and ease the financial burden on customers. Bloomberg Wire, Dallas News, 7 Mar. 2023 Contractors and vendors use GoodLeap’s point-of-sale app to get their customers’ loans instantly approved; partner banks, including Goldman Sachs, make the loans and then securitize the debt to sell to investors, using its software to track loan performance. Jeff Kauflin, Forbes, 7 June 2022 The division also provides financing to clients who want to buy these products and will securitize loans -- dice them into new securities of varying risk and return -- on their behalf and sell them to investors for a fee. Jan-Henrik Foerster, Bloomberg.com, 13 Oct. 2022 The reserves may also be used to securitize borrowing by the government. Ray Ndlovu, Fortune, 9 Oct. 2022 Intesa Sanpaolo, the country’s leading lender with assets of more than €1 trillion, and midsize peer BPER Banca hired firms in December to help securitize a portfolio comprising some €3.1 billion in sour loans. Christiaan Hetzner, Fortune, 11 July 2022

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'securitize.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1981, in the meaning defined above

Time Traveler
The first known use of securitize was in 1981

Dictionary Entries Near securitize

Cite this Entry

“Securitize.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/securitize. Accessed 14 Jun. 2024.

Legal Definition

securitize

transitive verb
se·​cur·​i·​tize si-ˈkyu̇r-ə-ˌtīz How to pronounce securitize (audio)
securitized; securitizing
: to convert (assets) into securities typically by transferring them (as by sale) to a special trust, partnership, or corporation that issues them as securities with a resulting reallocation or reduction of risk and increase in liquidity for the company (as a bank) acting as the sponsor of the transaction see also asset-backed security at security
securitization noun
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