- ABS
- (1) Initials for asset-backed security.(2) The name for a convention used to express the rate of prepayments for an asset-backed security. ABS expresses principal prepayments as a percentage of the original number of loans or contracts in the pool of securitized loans that created the security. ABS is always expressed as a monthly rate. American Banker Glossary————
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ABS ABSabbreviation for American Bureau of Shipping* * *
Asset-backed Securities. Securities collateralized by assets such as car loans and credit card receivables which can be seized if the debtor defaults. ABS are created by the process of securitization whereby banks pool types of loans and use them as collateral or security against a bond issue.► See also Securitization.* * *
ABS UK US noun TRANSPORT► ABBREVIATION for American Bureau of Shipping: an organization that sets standards for the building of ships and for safety in the shipping industry: »The ABS must approve every stage of a new vessel's life, from design to sea trials.
Financial and business terms. 2012.