Welcome back to my series of presentations on mortgage backed securities.

We're getting 10 of our asset investment back every year.

Something about phony securities.

They're fairly liquid securities.

Those are essentially derivative securities that are derived from mortgage backed securities.

It can buy Treasury securities, so instead of short term Treasury securities, maybe it could be longer term Treasury securities.

And that's as asset, as long as they pay me back.

But when you actually back out the implicit value of the asset, all of a sudden you realize that you're really overpaying for this asset.

So the 1 million asset would really become an 800,000 asset.

So in exchange it gets treasury securities.

And equity securities you're probably familiar with.

We're from the Securities and Exchange Commission.

It's the same asset.

So that's the asset.

So it's an asset.

That's an asset, right?

you have to buy this back from me at the NAV (net asset value) per share.

Welcome to my presentation on mortgage backed securities.

That's its asset it has.

So it's an illiquid asset.

This is a real asset.

Why is cash an asset?

It may get back to a million, if our population increases so much that, one day, that might become a productive asset again, or becomes a high demand asset.

I have a whole video on mortgage backed securities.

And they rate these assets, these mortgage backed securities.

The entire asset was his equity.

It's derived from the original asset.

That improves my return on asset.

So I would revalue the asset.

So cash could be an asset.

So that's what an asset is.

He would be a great asset.

Social securities are not something that should be trifled with.

And we learned that debt securities are often called bonds.

CDOs, collateralized debt obligations, are derived from mortgage backed securities.

So AAA would be like the highest rated securities, right?

So when you have an asset, if the asset is cash, the rent on it is interest.

So going back to our balance sheet, we had a 10 million asset, we had 5 million of debt.

And so money came from when the owners of each of these mortgage backed securities each, let's say, paid 1,000 for the mortgage backed securities.

And so you create a derivative asset.

I have a 5 return on asset.

He's getting this great return on asset.

I'm getting this crummy return on asset.

So my return on asset is 7 .

I have one asset in the world.