For mortgage-backed securities, the risk that rising interest rates may slow down mortgage prepayment. Because investors' money is tied up in the securities, they may miss the opportunity to earn a higher rate of interest on a different investment. Found on http://www.encyclo.co.uk/visitor-contributions.php
For mortgage-backed securities, the risk that rising interest rates may slow down mortgage prepayment. Because investors' money is tied up in the securities, they may miss the opportunity to earn a higher rate of interest on a different investment.