Also referred to as ABS. Debt securities (such as bonds or notes) which are issued in the course of a securitisation and backed, that is, funded by and secured over a portfolio of cash flow-generating assets such as credit card receivables, trade receivables, auto loans and leases (though generally not mortgage loans as these are more commonly referred to as mortgage-backed securities).

For more on asset-backed securities, see Practice note, Types of securitisation: Consumer and commercial receivables.