Distinguish between a TBA and specified pool trade
What will be an ideal response?
Pass-throughs are quoted in the same manner as U.S. Treasury coupon securities. They are identified by a pool prefix and pool number. Many trades occur while a pool is still unspecified, and therefore no pool information is known at the time of the trade. This kind of trade is known as a "TBA" (to be announced) trade. The seller has the right in this case to deliver pass-throughs backed by pools that satisfy the PSA requirements for good delivery.
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One of the advantages of going international is that it can potentially lower operational costs
Indicate whether the statement is true or false
A sunk cost is described as which of the following?
A) One that is relevant to a decision because it changes depending on the alternative course of action selected B) A historical cost that is always irrelevant C) An outlay expected to be incurred in the future D) A historical cost that may be relevant