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Webster's New World Finance and Investment Dictionary » pool factor
pool factor
pool factor definition - finance
The
percentage of mortgage-based securities that is left over after the initial
issuance of mortgage-backed securities has been made. A pool factor is often
applied to a mortgage pool, such as Ginnie Mae or Fannie Mae securities, to
help investors estimate what future pre-payment rates will be.
Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
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