标题: NAS Tranche [打印本页] 作者: svgleeson 时间: 2011-7-13 16:56 标题: NAS Tranche
Do NAS tranches typically have:
More or less contraction risk?
More or less extension risk?作者: redskins44 时间: 2011-7-13 16:56
NAS tranche is a non-accelarating tranche.
it will have less contraction and less extension risk.
for the first 7 years - it will receive no prepayments. after that it will. so it has less contraction and extension risk.
NAS Tranche > Sequential tranche > Non-NAS tranche when it comes to stability of average life of the tranche.
