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All Tranches in a Collateralized Mortgage Obligation (CMO) Have the Same

question 56

True/False

All tranches in a collateralized mortgage obligation (CMO) have the same prepayment risk exposure.


Definitions:

Compress

To press together or into less space.

Prime Mover

Muscle that plays a major role in accomplishing a movement.

Cause Movement

The initiation of change in position or motion in response to external or internal stimuli.

Named

Designated or given a specific title.

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