Requiring Originators to Retain Interest in MBS Deals Isn’t Vital to Performance, New Report Concludes
July 18, 2008
Requiring originators or MBS issuers to have “skin in the game” may not be as significant a factor in determining performance as many observers think. The results of originators retaining a financial interest in deals vary from transaction to transaction, may change over time and “are generally limited,” according to a new report from Moody’s Investors Service. The report comes...