MBS and ABS face multiple physical and transition risks from climate change over the short, medium and long term, said panelists at the annual Structured Finance Association conference.
Will the new, forward-looking, credit-sensitive version of the Secured Overnight Financing Rate serve as the index rate for credit-risk transfer and MBS transactions?
Securitization issuers should carefully monitor and mitigate potential cyberattacks as a way to help preserve the credit quality of a structured finance transaction, S&P said in a recent report.
The Fed could end its stimulus-related purchases of agency MBS by the middle of 2022; S&P official provides an example of just how conservative rating services can be when assessing non-agency MBS and ABS.
Some of the Trump-era restrictions placed on the GSEs have been put on hold for at least a year. That includes a cap on acquisitions of mortgages for investment properties.
The blueprint would reverse capital requirements set in December, which offered few incentives for the GSEs to complete credit-risk transfer transactions.