In a collateralized debt obligation (CDO) such as a collateralized mortgage obligation (CMO), the senior tranche: a.
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In a collateralized debt obligation (CDO) such as a collateralized mortgage obligation (CMO), the senior tranche:
a. Comprises the oldest mortgages.
b. Has the lowest risk of all the tranches.
c. Pays the highest return of the all the tranches.
d. Is the only tranche that does not have government insurance.
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Related Book For
Money, Banking, Financial Markets and Institutions
ISBN: 978-0538748575
1st edition
Authors: Michael Brandl
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