I'm trying to understand the financial term TAC in the context of investments. Could someone explain what it stands for and how it's used in investment decisions?
5 answers
SamuraiHonor
Sun Nov 03 2024
Targeted amortization class tranches represent a unique class of structured products.
CryptoWarrior
Sat Nov 02 2024
These tranches are designed to enhance the certainty of cash flows.
Nicola
Sat Nov 02 2024
They can be formulated using any asset-backed security that features a payment schedule.
CryptoLegend
Sat Nov 02 2024
However, TAC tranches are most commonly linked with collateralized mortgage obligations (CMO).
SeoulSerenitySeeker
Sat Nov 02 2024
Another significant association is with mortgage-backed securities (MBS).