The new licensing requirement represents a major shift for the MBS market, with participants scrambling to either comply or avoid loans in the state. A challenge to the requirements appears likely.

The debate over how to end the conservatorships of Fannie Mae and Freddie Mac hinges on whether rating services would downgrade the GSEs if they exit without an explicit government guarantee.

Although Acra Lending could have new owners soon, it continues to strike partnerships. The latest one involves selling non-QMs to an insurance company.

The settlement includes $19.4 million in disgorgement of profits the SEC said BMO generated between December 2020 and May 2023 through misleading sales of agency CMOs.

The settlement comes after the Supreme Court refused to hear a case in which the Third Circuit found that NCSLT were a “covered person” under the Dodd-Frank Act and subject to the CFPB’s oversight.

The custodial structuring and deposit accounts used in securitizations don’t pose any policy concerns that the FDIC’s rule is attempting to fix, according to SFA.

TRACE trade data on non-agency CMOs isn’t released until 18 months after the transaction, leaving customers at the mercy of dealers when it comes to pricing information.

Initial projections suggest MBS backed by collateral in areas affected by the California wildfires will largely be unscathed.

Critics argue that, if Fannie Mae and Freddie Mac are released from conservatorship without an explicit government guarantee, MBS investors will demand wider spreads to cover the added credit risk.

Stifel is telling its clients to reallocate into MBS from corporates. Meanwhile, MBS trades slipped in December but posted a strong year.