a. Why is a shifting interest mechanism included in a securitization where the collateral is residential mortgage

Question:

a. Why is a shifting interest mechanism included in a securitization where the collateral is residential mortgage loans?

b. Why would a shifting interest mechanism not be included in a securitization where the assets being securitized do not have prepayments?

AppendixLO1

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: