Question: 1. What is the difference between pass-throughs and CMOs? 2. Explain how interest rates, prepayment rates and duration affect the price of CMOs? 3. How

1. What is the difference between pass-throughs and CMOs?

2. Explain how interest rates, prepayment rates and duration affect the price of CMOs?

3. How does PSA affect your decisions in investing in CMOs?

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