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Break-even payment rate

Definition: [crh] The prepayment rate of an MBS coupon that will produce the same cash flow yield (CFY) as that of a predetermined bencDefinition: hmark MBS coupon. Used to identify for coupons higher than the benchmark coupon the prepayment rate that will produce the same cash flow yield (CFY) as that of the bencDefinition: hmark coupon; and for coupons lower than the benchmark coupon the lowest prepayment rate that will do so.

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