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In Simple Terms, a Mortgage-Backed Security Is

Question 17

Multiple Choice

In simple terms, a mortgage-backed security is:


A) a portfolio of mortgages sold to investors through publicly issued bonds.
B) a contract that transfers the ownership of a lender's mortgages receivable.
C) a contract that transfers the risk of noncollection from mortgage originators to other investors.
D) All of the above
E) a and c only

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