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    Exam 27: Securitization
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    Which of the Following Is a Source of Prepayment Risk
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Which of the Following Is a Source of Prepayment Risk

Question 106

Question 106

Multiple Choice

Which of the following is a source of prepayment risk on a typical FNMA mortgage-backed pass-through security?


A) Refinancing.
B) Default risk.
C) Housing turnover.
D) Non-assumable mortgages.
E) All of the options.

Correct Answer:

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