New reports from S&P and Fitch look at how home price appreciation, affordability and housing overvaluation trends, especially in certain geographic markets, might impact residential MBS.
MBS-investing REITs continue to pay sweet dividends but the asset value of their holdings has come under pressure thanks to spiking interest rates. First-quarter earnings should be revealing.
The Structured Finance Association is evaluating the most popular corporate ESG frameworks to see how they could be applied in the securitization industry.
Only 4% of MBS and ABS assessed by Fitch received a positive rating impact from ESG factors. Meanwhile, S&P is set to expand its assessments in the ESG space.
The reputation of being a safe, liquid asset adds about 47 basis points to the “convenience premium” of agency MBS over investment grade bonds, according to the National Bureau of Economic Research.