A CMO is a security backed by a pool of mortgage pass-through securities or mortgages and is referred to as a derivative security.

Name: A CMO is a security backed by a pool of mortgage pass-through securities or mortgages and is referred to as a derivative security.
Brand: Quizplus
Rating: 5.0 (50 reviews)

Question

Quizplus · Accepted Answer

A CMO (Collateralized Mortgage Obligation) is indeed a security backed by a pool of mortgage pass-through securities or mortgages, and it is considered a type of derivative security.

A CMO Is a Security Backed by a Pool of Mortgage