genuinecfa

pepp Wrote:
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> Management quality for a bond is same thing as
> economic policy for a sovereign debt.
>
>
> Servicer for an ABS plays no role, as it doesn't
> lower credit risk/liquidity risk/prepayment risk.
>
> So i'd say false.


The factor 2 of question #16 in CFAI 2011 mock pm was talking about the quality of the servicer?
If so, the servicer's quality seems playing some roles in the credit rating.
I chose B for that question