Short form/acronym Full term name Words associated with term (from list below) ABS RMBS SPV 100 PSA LTV ARM GSE WAC WAM CPR SMM CMO PAC Word list 8) Credit card receivables 1) Number of months to maturity of loans 2) Freddie Mac 9) Houses 3) Bankruptcy-remote entity 10) Monthly prepayment rate 4) Ratio of purchase price to loan amount 11) Prepayment bands protect investors from prepayment risk 12) Prepayment benchmark: 6% is assumed at 30 months plus 5) Mortgage rate resets periodically 6) Average coupon rate 13) Redistribution of cash flows into tranches with different risk 7) Yearly prepayment rate 111 words Short form/acronym Full term name Words associated with term (from list below) ABS RMBS SPV 100 PSA LTV ARM GSE WAC WAM CPR SMM CMO PAC Word list 8) Credit card receivables 1) Number of months to maturity of loans 2) Freddie Mac 9) Houses 3) Bankruptcy-remote entity 10) Monthly prepayment rate 4) Ratio of purchase price to loan amount 11) Prepayment bands protect investors from prepayment risk 12) Prepayment benchmark: 6% is assumed at 30 months plus 5) Mortgage rate resets periodically 6) Average coupon rate 13) Redistribution of cash flows into tranches with different risk 7) Yearly prepayment rate 111 words