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Volume 10 - Number 10

May 13, 2011

Downloads Available: FHLBank Combined Operating Highlights 1Q11


FHFA: FHLBanks Should Reduce Investments

A large investment portfolio intended to generate added earnings is inconsistent with the purposes of the Federal Home Loan Bank System and is a "misuse" of the system's preferential access to capital markets, the head of the FHLB’s regulator told Bank directors this week. [Includes one data chart.]

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Yes, they don’t reflect current market conditions and need to be adjusted to allow borrowers with below 700 FICO scores and smaller downpayments to qualify for mortgages.
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