Economic downturns could also bring on improved home loan defaults, leading to losses for MBS investors. Collateralized mortgage obligations (CMOs): CMOs consist of multiple swimming pools of securities often called slices or tranches. The tranches are given credit rating scores, which identify the prices that are returned to traders. Tranches https://johnnyzwite.wikikarts.com/1535887/the_mbs_l_com_diaries