Collateralized Mortgage Obligations
Cash flow generation, pricing, and sensitivity analysis for
CMO
For information about CMO functions, see the CMO Workflow.
Functions
Topics
- Create PAC and Sequential CMO
This example shows how to use an underlying MBS pool for a 30-year fixed-rate mortgage to define a PAC bond and then define a sequential CMO.
- Using Collateralized Mortgage Obligations (CMOs)
Financial Instruments Toolbox™ supports collateralized mortgage obligations (CMOs) to provide a greater range of risk and return characteristics than mortgage-backed securities (MBS).
- Prepayment Risk
Prepayment risk is the risk that the term of the security varies according to differing rates of repayment of principal by borrowers.
- CMO Workflow
Workflow for developing a CMO.