Monthly Archives: July 2026

Securitization

Securitization and Structured Finance Basics

Senior Executives, Esteemed Readers, Bankers, Advisors, and even Professional Investment Management across the board in the Banking Space some of our Academics and students have not been thoroughly introduced to Structured Finance and Securitization! I was sitting in the new empty skeleton of a Barndominium we are assembling in a remote Midwest region and I could not help but to think about the many Lawsuites I am having to send out and file currently. It’s ridiculous. And is a learning process. Fact! However this is today’s lesson for anyone wanting to learn more about this topic and especially Students. Let’s Begin with the basics of Structured Finance just like our Favorite Cable Cowboy Book taught us, written by Uncle Dr. John C. Malone.

The IMG describe’s Securitization as “the process in which certain types of assets are pooled so that they can be repackaged into interest-bearing securities. The interest and principal payments from the assets are passed through to the purchasers of the securities.” Link to full intersting Basics broken down by the IMF.

Back to basics: What Is Securitization?

International Monetary Fund

Another way to understand Securitization is through Investopedia’s excellent website: It states, “Securitization transforms non-liquid assets into tradeable securities, providing investors with principal and interest returns from diverse assets like mortgage loans and consumer debt. This process of financial integration empowers issuers and offers investors a structured avenue for income generation.” INVESTOPEDIA

Since we got the Basic Understanding of Securitization down on this website let’s explore Structured Finance Basics as well.

Structured Finance Vs. Securitization

It would be correct to think Structured Finance and Securitization are two different topics. According to Mergers and Inquisitions Website Page on the Topic; “The terms “Structured Finance” and “Securitization” are often used interchangeably, but there are some differences.

The main one is that “Structured Finance” is a broader term that may refer to any transaction that uses special-purpose vehicles (SPVs) to add “special features” to loans.

“Securitization” refers to the specific process of pooling together loans, turning them into a security, and selling tranches or “slices” of that security.

So, Project Finance loans issued to fund infrastructure projects such as power plants and toll roads could be considered “Structured Finance” transactions even if they are not securitized.

In this article, we’re not going to distinguish between Structured Finance and Securitization because the everyday usage is so similar.

A proper way to study any subject in Depth is to watch some Lectures from University and Law School. This below is a great lecture on Structured Finance Basics.”

Structured Finance Lecture Cambridge Law School

Securitization

Angel Oak Capital does do a fantastic job laying out basics on Securitization so I shared thier description on the topic here below. Securitization (Structured Finance) – The process of transforming illiquid assets (e.g., mortgages and other loans/leases) into tradable securities, enhancing funding, liquidity, and investor access. It supports credit generation by attracting funding from the capital markets to lenders, enabling more lending than they could otherwise fund from their balance sheets. Securitized products comprise almost a quarter of the U.S. fixed income markets.

Fragmented Types of Securitization

Asset Backed Securities, Collateralized Bond Obligations (CBO’s), Collateralized Debt Obligations (CDO’s), Collateralized Debt Obligations Squared (Essentially Tranched CDO’s or Pizza Sliced Debt Pieces), CDO Cubed (Sliced and Tanched), Collateralized Loan Obligations CLO (Bank Loans from hard Assets), Commercial Mortgage Backed Securities (CMBS), Mortgage Backed Securities, Residential Mortgage Backed Securities. This is a example of Types of Secutities that are securitized in pieces or tranched as we say in Banking.

If anyone can be credited with being a Famous Securitization Genius? That would be Larry Fink of Blackrock. During the 1970’s Mr. Fink ran the Bond Securitization team at First Boston and developed ingenius Financial Products using Pieces of Securitized Mortgages consolidated into different ratings groups for Institutional Fixed income Securities Markets. IT’s highly technical Financial Products inside Investment Law and Investment Banking. And a great subject to study and explore. Did you check out my Post on Mr. FINK HERE?

What are the Advantages of Securitization?

  • Turns illiquid assets into liquid ones
  • Frees up capital for the originator
  • Provides income for investors
  • Small investors can participate

Disadvantages of Securitization …..

  • Investor assumes creditor role
  • Risk of default on underlying loans
  • Lack of transparency regarding assets
  • Early repayment damages investor’s returns

Did you catch the post I wrote a few years ago on Asset Backed Securities?

Structured finance is a sector of finance and financial law — that manages leverage and risk. Strategies may involve off balance sheet accounting, or the use of financial instruments to manage credit risk and facilitate capital flows.

Securitization provides $15.6 trillion in financing and funded more than 50% of U.S. household debt in 2021. Through securitization and structured finance, more families, individuals, and businesses have access to essential credit, seamlessly and at a lower price.[1]

With more than 370 member institutions, the Structured Finance Association (SFA) is the leading trade association for the structured finance industry. SFA’s purpose is to help its members and public policymakers grow credit availability and the real economy in a responsible manner.[2]

ISDA conducted market surveys of its Primary Membership to provide a summary of the notional amount outstanding of interest rate, credit, and equity derivatives, until 2010. The ISDA Margin Survey is also conducted annually to examine the state of collateral use and management among derivatives dealers and end-users. End-User Surveys are also conducted to collect information on usage of privately negotiated derivatives.

Structured Finance and Law

What does a Securitization Lawyer Do?

Attorneys are trained and gain experience to advise clients going through transitions during transaction of growth, taking on added debt, structuring an asset through asset securitization, including giving teams guidance addressing securities, corporate, real estate, tax (REMIC, FASTIT, Debt and Erisa Law guidelines.

Structured Finance Practices in the Law Firms that hold a Monopoly on the Space, do participates in a wide variety of securitized and structured products encompassing almost every asset class in the mortgage, asset-backed, corporate loan, municipal, and structured products markets, including RMBS, CMBS, CLOs, credit card securitizations, auto loan securitizations, equipment securitizations (retail and wholesale), and future flow securitizations. Through our representation of every type of market participant – from major financial institutions and Fortune 500 companies to investment managers and specialty finance companies – we have a breadth of experience that few law firms can offer.

It is several of these Law Firms who have threatned me with Dirty Tricks if I do not stop my ascent into the Investment space. They are literally doing their best to try and intimidate me from moving forward as a Investment Firm Startup. I will be writing a Book about this. Because it is ugly and is unfair. And when people do abuse you and threaten your life and freedom from learning new skills and inuring you? Or United States DOJ and Military will find, fix, and instantly neutralize you. Its been dangerous business writing my blog and learning these skills. Im not afraid of Dying for my upholding my Right as a American. FACT! What they did to me was dirty and very unwelcome. I never knew what was happening. But they continued hurting me for over several years. My body is damaged now from the abuse from some really nasty people who are hiding and sent people to hurt me. But my heart is not yet given up on my goal. And I will march on with bold courage.

Asset Securitization and Origination Process

Getting down into the process and origination of Securitizing Assets is a fairly straight forward process. Just like with any Investment Training it comes down to LAW and who trained you in your field as a Advisor Representative and Investment Professional. No One is entirely self taught. That is a Myth. To really truly understand Origination of Asset Securitization we first need to see how the Government and Law wants this to come together. We would advise if your interested in the actual paperwork and process to read the Asset Securitization Book from the “Comptroller of the Currency of the National Banks”. BOOK HERE.

The Law Firm Slaughter and May makes a excellent description on the tool of Origination and how Lenders and Advisors can use this powerful tool to originate a Asset backed Security. They lead by sharing; Originators can use securitisation to achieve a lower cost of funding than from other debt products and to remove securitised assets from their balance sheet. Securitisation plays an important role in facilitating liquidity and risk management, allowing originators to diversify funding sources, mitigate balance sheet risks and optimise capital allocation. Through unlocking asset value and improving market liquidity, securitisation can contribute to economic growth, facilitate access to capital for businesses and support financial stability.

How do Fixed Income or Debt Advisor’s Put the Funding Together

The way they work is very simple. They Funding Agent of the Bank or the Team putting the funding package together literally pulls capital out of thin air from thier bank, or pitch Institutional Firms on the Offering being put together for Origination and Securitization. If the Advisor is successful and the Debt Offering passes a Due Diligence Investigation? The funding is secured and the transaction gets put together into a Agreement, and Legal Document Package for signing. After the Team of Lending Advisors and Legal Professionals plus Senior level Executives from the Company seeking funding meet and sign paperwork.

The paperwork has already been signed and agreed and shopped into the world of Banks, Debt Lenders, and Private Equity Firms who do collaborate with Debt Originators/Lending Advisors. Meaning? The funding is secured for the Debt Offering for the company seeking the credit. Once the final signatures and the final Transaction is complete? The newly formed Securitzed Paperwork Packet becomes a Marketable Securities Investment Product for Public Investors and sold in the Credit Markets.

There are more ways than one to slice an Orange and Apple. However for todays basics post? This will explain what is needed. Securitization is a space all it’s own in the asset management space. I think this stuff is fun. It’s highly structured.

The Four Types of Securities

The four main types of financial securities are equity, debt, derivatives, and hybrid securities. These instruments represent either ownership, debt, or a contract based on an underlying asset, designed for trading in financial markets to offer income, capital appreciation, or risk management.

Basics of Structured Finance and Securitization Conclusion

I have just shared a full on lecture of some basics within the Securitization Space, and Basics related to Structured Finance. The sad fact is this, I have been bullied to stay out of the space. The stalkers who follow me ran me over with a Jeep in front of Jersey Mikes in June 2025. It shocked me they were trying to kill me. Because I was fully qualified to manage capital, and was learning to program on top of being brutally attacked and pursued in San Francisco, Cupertino, Silicon Valley, and Arizona to Las Vegas and Kansas City. My Body took severe damage fact. They tried to manipulate me using my former GF Qiana as bait. And used her as a harrassment tool using indirect irritation and stalking. Im still in awe they would do dirty things to me.

When a former GF flies across the country to attempt to ambush you in a Hotel lobby unexpectedly? It’s standard practice for any smart human to not take the bait. And not engage anyone you bump into out of having sound security practices. You never know who sent that person. Or it could be even Government Thugs who stalk people from Big Law Firms wanting Information. And they do use Offensive Dirty Hackers to try and obtain that information that could be wrongly construed. Many successful fund managers and writers and entrepreneurs understand what that is like. Ya. No. I am smart enough to keep myself safe. And keep my Manly Urges from being intentionally manipulated by outside Honeypot sources. NOPE! Im not a Soft Target. Don’t even try me. A pretty face and nice body are not easily used to trap me. Keep it moving Hot Honey Lipped Ladies. This man knows you ladies do have devious unspoken intentions most days. Thanks in Advance.

Securitization and Structured Finance has a place in every Corporations Accounting and Finance commitee’s portfolio of tools. Your Investment Advisors can walk you through the origination process and help your Company secure vital funding for growth and in the process improve your Financial Situations using the tools we are trained with. Some Advisors are better than others. The truly good Advisors have secured knowledge from intense self study from multiple Tax, Finance, and Law Skills combined. Your Community and Credit Market Investors are rewarded for hiring Advisors who do have the relationships and who can fund deals quickly. It’s not a a simple subject. But for today? You learned some basics to get you asking some questions and how the basics work for Structured Finance and Securitization. And that was my goal. Thank you for dropping by, If you would like for me to include something here in the post? Let me know! Until next time?

Good Night and Good Luck! JS.

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Business Articles, False Claims Act, Qui Tam Law

Qui Tam and False Claims Act

This Website is mainly about Investing and Securities, The latest US Codes I have discovered apply to Securities Analysis and a Professional Investor absoulutely could use these laws I am about to detail along with a Investment Analysis and make a Fortune as a Short-seller and additionally a Research Whistleblower; this is where Qui Tam and False Claims Act enter the toolbox of Institutional Activist Investors.

What is a Qui Tam Law?

According to the Federal BAR; “Qui tam” comes from a Latin phrase meaning “he who brings an action for the King as well as for himself.” As it relates to federal law, this concept allows private individuals to litigate against entites that have committed fraud against the federal government. Qui tam actions are filed under the False Claims Act (FCA), which was enacted during the Civil War to address the problem of widespread fraud by military suppliers. Fast forward to today, and the FCA empowers whistleblowers to take legal action on behalf of the government.

There are some common industries that see qui tam cases brought by whistleblowers. In healthcare, fraud occurs when overbilling Medicare or Medicaid, giving financial kickbacks to physicians, or billing for services not provided. Procurement fraud involves misrepresenting facts and/or qualifications to secure government contracts. More specifically, defense contracting fraud means inflating prices or providing goods of insufficient quality to the military.

So essentially if someone or a Federal Contractor abuses the Procurement Process and engages in Theft of Taxpayer Funds? A Whistleblower can bring a Federal Qui Tam Lawsuit, and this Lawsuit has Whistleblower Protections. If successful? The Whistleblower may be awarded 10 to 30 percent of Recovered Funds.

“What is the False Claims Act (FCA)”

The False Claims Act As Seen on Whistleblowers.org Say’s

EditSign (31 U.S.C. Sections 3729 through 3733) is the oldest qui tam law, originally enacted in 1863 but later amended in 1943 and 1986. It has been further strengthened by recent amendments in 2009 and 2010.

Since its modernization in 1986, it has proven to be the most effective antifraud law in the United States.

Some actions that would be considered violations of the False Claims Act are as follows:

  • Charging the government for more than was provided;
  • Fraudulently seeking a government contract;
  • Submitting a false application for a government loan;
  • Submitting a fraudulent application for a grant of government funds;
  • Demanding payment for goods or services that do not conform to contractual or regulatory requirements;
  • Requesting payment for goods or services that are defective or of lesser quality than were contracted for;
  • Submitting a claim that falsely certifies that the defendant has complied with a law, contract term, or regulation;
  • Attempting to pay the government less than is owed.

How Does an Attorney or Individual Pro Se Litigant Bring a QUI TAM Lawsuit?

First you will need a RELATOR who is a Insider that has and knows the INTRICATE Details about the Fraud or Theft of Taxpayer Funds, and how the Fraud works in Detail. You will then move on to Providing or Writing a Legal Analysis of the Fraud inside a Legal statement called a Disclosure Statement. You will provide the Details, the story, and intricate details of the Fraud or Theft with Evidence and first hand direct account Witnesses if possible to the investigation. And write the story. If your able? Use CREAC, IRAC to list what Rules have been violated and the Issue and Application and Conclusion. And file this Disclosure Statement with you Federal Lawsuit Complaint with the US DISTRICT Courts Clerk.

Common Types of Qui Tam Lawsuits the Court Have Heard?

The McCabe Lawfirm Details;

HEALTHCARE FRAUD

The majority of modern qui tam lawsuits involve federal healthcare programs such as Medicare and Medicaid. These cases often center on submitted false claims for medical services that were never performed, medically unnecessary procedures, unnecessary tests, or illegal kickbacks to doctors for patient referrals. Pharmaceutical companies and medical device manufacturers have also faced lawsuits for drug pricing fraud, off-label marketing, and billing violations that drive up health care costs.

DEFENSE CONTRACTOR FRAUD

Since the Civil War, the federal False Claims Act has been used to combat defense contractor fraud. Modern examples include contractors overcharging for military equipment, using substandard parts (such as faulty suspension systems), or engaging in bill padding for services provided. These cases protect taxpayer dollars while ensuring national defense contracts deliver what they promise.

PROCUREMENT AND GRANT FRAUD

Other qui tam cases involve contractors and organizations misusing government funds through procurement fraud or false grant applications. This can include false records, overbilling, or diverting money for unauthorized uses. Public agencies statewide have also seen cases under state false claims acts, like the California False Claims Act, to address fraud at the local level.

In every instance, the Justice Department or the appropriate state agency decides whether the government intervenes in the case or the government declines, allowing qui tam relators and their law firm to continue independently.

How Institutional Investors Can Use The False Claims Act or Qui Tam Lawsuit?

Based on the Investment into this Article I have done, I can now share how to use the False Claims Act and Qui Tam and add it to a Professional Investors Tool Kit. Carl Icahn, and Dan Loeb, and Bill Ackman and Michael Burry, and the legendary Paul Singer and a few others I know in the Investment World would likely use these Laws as Investment Instruments/Tools before Shorting Securities as Activist Investor Firms.

What would that look like? First we find a Company that does have and use Government Contracts, then evaluate all Public Information available and if you can find a Insider at a Company willing to share with you that they have found Waste, Fraud and Abuse? I would then interview former Waste, Fraud and Abuse Investigators from the different Agencies of the Government and scope or develop a Investment Thesis during a plan of action to short the Securities after full Federal Investigations were conducted. Media is to risky to use. As it is a Great way to end up with Securities Fraud and Manipulating Securities and Markets and end in Prosecutions.

Conclusion? The Better You Are With Law The Better Investments you Make!

With all the scams happening within Government, and scheming off the American People we see from the endless news of another Fraudster or Con Artist skimming from Government Funds in the daily duties of Officials in these Bureaucrat Ran Agencies. I do believe it is righteous for anyone who is in a position to Investigate Fraud, Waste, and Abuse to do so with facts that will align into a agenda you or your shareholders can profit from during actions that right the scales. In the end? I do believe investing into other peoples businesses is a great way to win over people. Use this information in this post with Discretion. It’s extremely powerful in the right Investors Hands.

Thank you for Reading,
JS

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Enrolled Agent (EA), Internal Revenue Service, IRS Publications

Enrolled Agent Qualification | Types of Taxable Income

Hello everyone, I hope all is well, as I sit here studying for my Enrolled Agent Qualification you begin to realize there is more to Accounting and Preparing Taxes than just numbers you must know what INCOME IS TAXABLE, AND What INCOME MEANS ACCORDING TO THE IRS TAX FORM 1040. That is what this post will be about. I will do a basic run down of what Qualifies as Income for anyone interested in defining definitions. Income for Business Owners, Fund Managers, Individual W-2 employee’s, 1099 Contractors, Resident Aliens, or even Part time Aliens abroad. I will also detail, explain and provide some free resources for you as I detail INCOME detailed stated by the IRS Form 1040. Tax Advisors absolutely add value in the Board Room and in the Operations Office. This will be a-lot of fun! Let’s get the party started!

Free TAX Resources For Tax Preparers and Individuals or even Investment Firms Shops/IAR’s to Family Office Advisors.

If your not well versed in Accounting talk? Don’t worry Neither am I? However if there is one Publication that needs to be read and put on your Desk as a Employee or in your Household for the stay at home Mom we see on shows like lovely Oprah, this Publication needs to be consumbed in it’s entirety. That publication provided by the United States IRS is “Publication 17”. According to the IRS they describe Publication 17 as: “Publication 17 covers the general rules for filing a federal income tax return. It supplements the information contained in your tax form instruction booklet.” BOOK HERE

TYPES OF TAXABLE INCOME (KA-CHING!)

First of all what is Taxable Income According to the IRS? According to IRS Content on the IRS website states: Internal Revenue Service Most income is taxable unless it’s specifically exempted by law. Income can be money, property, goods or services. Even if you don’t receive a form reporting income, you should report it on your tax return.

Income is taxable when you receive it, even if you don’t cash it or use it right away. It’s considered your income even if it’s paid to someone else on your behalf.

Types of taxable income

Taxable income can include payments you receive from: EMPLOYMENT

WAGES and Employment Benefits: Included on IRS FORM W-2,

Self-employment or side jobs

Freelance or independent contractor work
Goods or services you sell online
Gig work or side jobs, often through apps
Renting out personal property
Bartering services or goods
Royalties

Businesses

Partnerships or other business entities

Investments – “INVESTMENT PROFESSIONALS PAY ATTENTION!”

Capital gains
Stock options, splits or trades
Interest
Dividends
Digital assets or cryptocurrency

Benefits paid to you

Retirement plan distributions, pensions or annuities
Unemployment benefits
Social Security income
Some life insurance proceeds
Some survivor benefits

Other types of income

Tax refunds, reimbursements and rebates 
Canceled debts
Alimony payments
Court awards and damages
Some scholarships
Gambling winnings
Prizes and awards

Related

Taxable and Nontaxable Income, Publication 525
Your Federal Income Tax, Publication 17

FREE TAX RESOURCES YOU NEED!

I must give a nice Thank you to all the Enrolled Agents out there and Accountants an Tax Attorneys for providing great content as I continue to build my path moving forward as a Professional earning my Enrolled Agent Qualification. There are free resources avaliable. And this short list is really helpful to other Investment, Family Office, Bankers, and Accountants, Tax Professionals or just anyone who is in the Professional Space. This resource guide is meant for you!

Publication 17 by the IRS, Instruction For Forms 1040-1040SR, Publication 501, Exemptions, Standard Deductions and Filing Info, Publication 504 by the IRS covers Divorced or Separated Individuals,IRS Publication 519 US TAX Guide for Aliens, IRS Publication 54 Tax Guide for US Citizens and Resident Aliens Abroad, Publication 552 Record Keeping for Individuals.

Tax Influencers on Youtube and Social Media you should be following and watching.

The Tax Advisor Space is a niche space and you better believe your Institution and or Small Business owned Family preparing their employment W-2 for tax day will find great content and tips to strategy to lighten and educate themselves on the Tax side we all must deal with as US Citizens. Here are a few Tax Professionals I watch, and you should watch as well!

Mark Kohler is a Tax Attorney his channel has millions of views and incredible content. I advocate watching Mark and his Guests.He does a great job instructing and I enjoy his channel.

https://www.youtube.com/@MarkJKohler

Jasmine Delucci is another Tax Attorney and Enrolled Agent I watch on Instagram. She is fantastic with her Social Strategy.

https://www.youtube.com/@taxleverage/shorts

In Conclusion

With all the Free Resources I just provided, and answering the basic question “What is taxble Income?” You should be well on your way as a Accountant Major Studying for your CPA exam, Individual Employed Tax Payer, Small Buisness Owner or even a new budding Tax Attorney or Enrolled Agent seeking resources in one location to get you moving in the right direction. This is meant to keep you curious and educate the Tax Payer on basic terms like “What is Taxable Income” and share some entertaining resources and content for you to consume as you run your business or maybe you have a question that needs answered and if you do? You will find these resources more than adequate to develop and find a answer. And with all this information I just provided? Thank you for reading. I wish you well and please do come back soon. Good Night and Good Luck! JS.

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