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CMO is the securitized Collateralized Mortgage Obligation.
CDO is the "insurance" issued against the CMO in case of default.
President Clinton in 2000 signed into law the ability for financial institutions to write this "insurance". They could not call it insurance or it would be regulated by insurance laws which governs the process including how much the insurer must have in excess of what they are insuring. The fact that it was not called insurance and the subsequent resistance of any regulation allowed institutions offering CDOs to operate without having any funds in reserves to cover a default by the underlying CMO.
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∙ 15y ago
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What is the Difference between a CDO and CLO?
Essentially not a great deal! A Collateralised Debt Obligation (CDO) is a product whereby a Special Purpose Vehicle (SPV) is populated with a wide variety of assets. The returns from these assets are then split by risk such that depending on your risk aversion/investment profile you can buy highly rated tranches of a CDO with lower rates of return, or alternatively more risky tranches with higher rates of return. A Collateralised Loan Obligation (CLO) only has loans in the SPV.
What is the symbol for Capstead Mortgage Corporation in the NYSE?
The symbol for Capstead Mortgage Corporation in the NYSE is: CMO.
What is the difference between center and middle?
Is the same as the difference between middle and center
Difference between visa refusal and denial?
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What is the difference between financial budget and a financial budget?
There is no difference between them.. Their difference only is how you understood about financial budget.. :)
Owner of cdo factory?
owner of cdo
Names of CDO city officials?
=who are the CDO city officials 2009?....=
What is the Difference between a CDO and CLO?
Essentially not a great deal! A Collateralised Debt Obligation (CDO) is a product whereby a Special Purpose Vehicle (SPV) is populated with a wide variety of assets. The returns from these assets are then split by risk such that depending on your risk aversion/investment profile you can buy highly rated tranches of a CDO with lower rates of return, or alternatively more risky tranches with higher rates of return. A Collateralised Loan Obligation (CLO) only has loans in the SPV.
Who is the owner of CDO product?
Corazon D. Havier is the owner of CDO.. hope it can help :))
What does the acronym CMO stand for in relation to Gmail?
There is not a specific meaning that the acronym CMO has for in relation to Gmail. CMO may stand for chief marketing officer or Canadian Mathematical Olympiad though.
What is the formula for cadmium?
I think it is CdC2O4
What is the market cap for Capstead Mortgage Corporation CMO?
As of July 2014, the market cap for Capstead Mortgage Corporation (CMO) is $1,255,507,729.80.
The CMO staff provide the commander with analysis of the civilian aspects of the environment with an evaluation tool know as?
The CMO stuff is the leader. They are in charged of everything.
Who is the owner of cdo FOODS?
Potang ina!
What is the compound name for CdO?
Cadmium Oxide
What is a explanatory note?
ambot cmo da
Who is responsible for recommending functional skills required support stability ops?
CMO Staff The CMO staff is the leader of functional skills. They are required to give support.
