What Is the Main Factor Which Can Cause the Weighted

question 5

Multiple Choice

What is the main factor which can cause the Weighted Average Maturity of the A tranch of a CMBS issue to be lower shorter) than lower tranches?

• A) Superior credit quality
• B) Prepayment of loans
• C) More "weight" attributed to higher quality financial issues
• D) Less demand from non-institutional investors

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Definitions:

World Stratification

This term describes the hierarchical layering of countries, often based on economic status, such as developed, developing, and underdeveloped, highlighting global inequalities.

Economic Development

The process of improving the economic well-being and quality of life for a community or country by increasing income, reducing poverty, and managing sustainable growth.

Fertility Rates

The average number of children that would be born to a woman over her lifetime, given current birth rates.

Core Countries

Nations that dominate trade, control the most advanced technologies, and have high levels of productivity within diversified economies.