Securitization
packaging loans into securities and selling them to investors
In more detail
Packaging many loans into a single pool and issuing securities against it: illiquid claims turn into tradable ones.
It was invented to free up a bank's capital: sell the pool and you can make new loans on the same equity.
Where it appears in the course
In the academy “Securitization” is not a definition but an operation: you post it yourself and watch what it does to the balance sheet.