How does a collateralized mortgage obligation alter the cash flow from mortgages so as to shift prepayment

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How does a collateralized mortgage obligation alter the cash flow from mortgages so as to shift prepayment risk across various classes of bondholders?

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Introduction To Fixed Income Analytics

ISBN: 9780470572139

2nd Edition

Authors: Steven V. Mann, Frank J. Fabozzi

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Question Posted: Apr 30, 2024 01:02 AM

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How does a CMO alter the cash flow from mortgages so as to shift the prepayment risk across various classes of bondholders?
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How does a collateralized mortgage obligation alter the cash flow from mortgages so as to shift prepayment

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A collateralized mortgage obligation CMO is a type of mortgagebacked security MBS that is structured to alter the cash flow from underlying mortgages ...View the full answer

Introduction To Fixed Income Analytics

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