CFA考试
报考指南 考试报名 准考证打印 成绩查询 备考资料 考试题库

重置密码成功

请谨慎保管和记忆你的密码,以免泄露和丢失

注册成功

请谨慎保管和记忆你的密码,以免泄露和丢失

当前位置: 首页 CFA考试 CFA视频 正文

What's the meaning of Prepayment risk?

帮考网校 2020-10-12 15:36:22
Prepayment risk refers to the risk that borrowers will pay off their loans earlier than expected, which can be a problem for lenders. When borrowers prepay their loans, lenders lose out on the interest payments they would have received had the loan been held to maturity. This can be particularly problematic for lenders who have invested in mortgage-backed securities, as prepayments can disrupt the expected cash flows and returns on those investments. Prepayment risk is often associated with adjustable-rate mortgages, as borrowers may choose to refinance their loans when interest rates fall, leading to prepayments.
帮考网校

推荐视频

推荐文章