Hibbeln, Martin; Metzler, Ralf; Osterkamp, Werner - In: Review of Derivatives Research 28 (2025) 2
We investigate whether originators of mortgage-backed securities lower the comprehensibility of disclosure documents to … comprehensibility as a combination of prospectus volume and text readability, we find that originators obfuscate low security quality by … lowering the comprehensibility of the investment prospectus, resulting in greater defaults and lower returns. Investors only …
