ABS normally offers a higher yield for a given rating or maturity than more mainstream investments such as government or corporate bonds
ABS are virtually all floating rate, meaning they are naturally expected to be far less volatile than fixed rate bonds in periods when interest rates are volatile
Built-in features such as credit enhancement, loss-absorbing reserve funds and the legal separation of issuer and asset pool, intended to provide a level of investor protection
High transparency with transaction reports detailed enough to view the performance of each individual loan in the asset pool, enabling investors to conduct their own research
ABS remains a largely under-researched and poorly understood asset class, meaning those that put in the effort and expertise can be rewarded with a speciality premium