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You buy a Principal Only Strip. The price at the time of purchase reflects a 12% expected annual prepayment rate. One hour after your purchase,

You buy a Principal Only Strip. The price at the time of purchase reflects a 12% expected annual prepayment rate. One hour after your purchase, the expected annual prepayment rate falls to 6%. The value of your security should?

remain the same

rise

the answer cannot be determined with the given information

fall

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