Absolute Prepayment Rate Formula
From Open Risk Manual
Revision as of 13:23, 1 December 2022 by Wiki admin (talk | contribs) (Wiki admin moved page Absolate Prepayment Rate Formula to Absolute Prepayment Rate Formula without leaving a redirect: typo)
Definition
Absolate Prepayment Rate Formula. ABS is defined by the following formula where SMM refers to Single Monthly Mortality, which measures the percentage of dollars prepaid in a given month expressed as a percentage of the scheduled loan balance. ABS = (100 * SMM)/100 + (SMM X (Age- 1)
Disclaimer
This entry annotates a FIBO Ontology Class. FIBO is a trademark and the FIBO Ontology is copyright of the EDM Council, released under the MIT Open Source License. There is no guarantee that the content of this page will remain aligned with, or correctly interprets, the concepts covered by the FIBO ontology.
