Collateral Mechanisms

A computer program product tangibly embodied on a computer readable hardware storage device, the computer program product comprising instructions for causing a processor to:

• record receipt of a first request for obligations that grant to a first party a first participation right to allow a second party having commercial contracts with the first party to draw against assets of a legal trust, at least some of the assets in the legal trust being funded by investors;
• record receipt of eligible assets obtained from the first party that are placed in a first account for the first party in the legal trust;
• determine terms for issuance of the obligations, the terms including a lien on the eligible assets in the first account for the first party and a guarantee by the first party to redeem assets in the legal trust that are drawn by the second party;
• and
• record a transfer of the requested obligations to a collateral account that benefits the second party.

A system comprises:

• one or more computer system, each system comprising:
• a processor;
• and
• memory coupled to the processor;
• and with at least one of the one or more computer systems configured to:
• record receipt of a first request for obligations that grant to a first party a first participation right to allow a second party having commercial contracts with the first party to draw against assets of a legal trust, at least some of the assets in the legal trust being funded by investors;
• record receipt of eligible assets obtained from the first party that are placed in a first account for the first party in the legal trust;
• determine terms for issuance of the obligations, the terms including a lien on the eligible assets in the first account for the first party and a guarantee by the first party to redeem assets in the legal trust that are drawn by the second party;
• and
• record a transfer of the requested obligations to a collateral account that benefits the second party.

A system comprises:

• one or more computer system, each system comprising:
• a processor;
• and
• memory coupled to the processor;
• and the computer system configured to:
• record receipt of a first request for obligations that grant to a first party a first participation right to allow a second party having commercial contracts with the first party to draw against assets of a legal trust, at least some of the assets in the legal trust being funded by investors;
• record receipt of eligible assets obtained from the first party that are placed in a first account for the first party in the legal trust;
• determining by the one or more computers, a set of risk probabilities associated with issuing the requested obligations;
• and
• record a transfer of the requested obligations to a collateral account that benefits the second party.