Like the MBS, it is based on mortgages; but like the CDO, it is divided and sold in tranches, based on the mortgages' maturities and risk factor.

Duration: 14:24
Posted: May 29, 2017

Jul 12, 2010 · L2 dives pretty deep into MBS. A CDO (Collateralized Debt Obligation) is a SIV (Structured Investment Vehicle) and is a portfolio of ABS. CDOs ...

Despite the definitive differences, CDO and MBS have overlaps in function: both are created and exchanged as financial instruments, and some MBS may be CDOs.

May 20, 2016 · A Mortgage backed security is a form of CDO. ... MBS is technically a brand ... CDO is a more general term (like adhesive bandage or facial tissue ...

Sep 22, 2019 · Collateralised debt obligations (CDOs) that invested in subprime mortgage-backed securities (MBS) were at the centre of the Great Financial ...

CDO collateral became dominated by high risk (BBB or A) tranches recycled from other asset-backed securities, whose assets were usually subprime mortgages.

CDO-Squared · Asset-backed security · Tranche · Structured finance

Feb 13, 2009 · As such, an MBS is secured by an interest in the underlying property. A CDO is not secured by the property but rather by the cash flow of the ...