The last classification of bonds from a set of mortgages in which no cash flow from the pool is directed towards it if previous tranches have not been fully retired. Also called accrual bond.
Related information about Z-tranche:
- Z-Tranche Definition | Investopedia
A special type of bond class in a sequential pay collateralized mortgage obligation. This class of bond does not receive any interest or principal payments until ...
- The Various Types of CMOs
Instead, a Z-tranche is credited “accrued interest” and the face amount of the bond ... After the earlier bonds in the series have been retired, the Z-tranche holders ...
- Z-tranche - Financial Dictionary - The Free Dictionary
The last tranche in a collateralized mortgage obligation. A Z-tranche accrues periodic interest but receives no cash payments until previous tranches from the ...
- Collateralized mortgage obligation - Wikipedia, the free encyclopedia
The interest payment that would have accrued to the Z tranche is used to pay off the principal of other bonds, and the principal of the Z tranche increases. The Z ...
- What is Z-tranche? definition and meaning
Definition of Z-tranche: The last classification of bonds from a set of mortgages in which no cash flow from the pool is directed towards it if previous tranches have ...
- Z-Tranche: Definition from Answers.com
Z-Tranche A special type of bond class in a sequential pay collateralized mortgage obligation. This class of bond does not receive any interest.
- Banker's Glossary - Z - American Banker
With the exception of jump Z tranches, owners of the Z tranche receive no cash flow from underlying mortgage collateral until the other tranches are retired.
- Z-tranche - Invest Definition
Z-tranche definition: The last tranche in a collateralized mortgage obligation. A Z- tranche accrues periodic interest but receives no cash payments until previous ...