Answer for Hi Gurus, Can you explain the difference between Syndication and securitization and how is this concept used in the leasing industry?

Securitization
The process through which an issuer creates a financial instrument by combining other financial assets and then marketing different tiers of the repackaged instruments to investors. The process can encompass any type of financial asset and promotes liquidity in the marketplace.By combining lease receivables into one large pool, the issuer can divide the large pool into smaller pieces based on each individual lease’s inherent risk of default and then sell those smaller pieces to investors. 

The process creates liquidity by enabling smaller investors to purchase shares in a larger asset pool. Using the lease receivables security example, individual retail investors are able to purchase portions of a lease as a type of bond. Without the securitization of leases, retail investors may not be able to afford to buy into a large pool of leases.
 
Syndication
 
The process of involving a number of different lessors and funding sources in providing various percentages of a particular lease’s debt and equity components. Typically a hallmark of large lease transactions; a lease syndication can allow any one lessor or funding source to maintain a more prudent and manageable credit exposure and competitive pricing while still providing the lessee with the total financing it desired and/or required.