Question: What is the average life of a pass-through, and what does it depend on? a. What are contraction risk and extension risk? b. Why would

What is the average life of a pass-through, and what does it depend on?

a. What are contraction risk and extension risk?

b. Why would a pass-through with a WAM of 350 months be an unattractive investment for a savings and loan association?

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