Principal Only (PO)

Filed Under: p by
Principal Only (PO)
– MBS where holder can claim only cash flows related to principal on the mortgage pool on which the MBS is based.

– In stripped MBS, the portion attributable to principal

– Principal Only securities, where underlying assets are principal payments to be made in future on a mortgage pool.

Recommended for you:

  1. Collateralized Mortgage Obligation (CMO)
  2. Stripped Mortgage-Backed Securities (SMBSs)
  3. Principal
  4. Principal Amount
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