An excess spread account incorporated into a securitization is designed to limit: A. Credit risk. B. Extension
Question:
An excess spread account incorporated into a securitization is designed to limit:
A. Credit risk.
B. Extension risk.
C. Contraction risk.
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An excess spread account in a securitization is primarily designed to limit credit risk It is a mechanism put in place to provide a buffer or cushion ...View the full answer
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