Question: A portfolio that immunizes liability obligations using zero coupon bonds is referred to as A. Lump Sum Portfolio B. Bullett Portfolio C. Barbell Portfolio D.

A portfolio that immunizes liability obligations using zero coupon bonds is referred to as

A.

Lump Sum Portfolio
B.

Bullett Portfolio
C.

Barbell Portfolio
D.

Laddered Portfolio

A security that has been tranched into different payment classes is

A.

A CMO security
B.

An RMBS security
C.

An ABS security
D.

A CMBS security

A special purpose Vehicle (SPV)

A.

Gives the investor mortgages for cash
B.

Gives the originating Bank cash for mortgages
C.

gives the initial borrower cash for mortgages
D.

Gives the originating Bank mortgages for cash

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