The consumer finance ABS market continues to show signs of life. It helps that “big money” is playing a role behind the scenes.

New Residential Investment Corp. is pulling an about-face, of sorts. After issuing new shares of common earlier in the year, it’s now embarked on a $200 million buyback program.

Following Chase, Citi is issuing MBS backed by non-QMs. The participation of two big banks is an encouraging sign for the sector.

Mortgage-investing REITs continue to tap the equities market. And it’s occurring at an odd time: The Dow Jones Industrial Average is gyrating like a drunken puppet.

Investors in interest-only tranches of Countrywide MBS are seeking to change the way payments are calculated.

Noting strong demand for non-agency MBS, issuers are getting creative with the types of loans they package into deals. JPMorgan, Credit Suisse, Angelo Gordon and Goldman Sachs are all entering new sectors.

The rating service’s proposal regarding the treatment of private mortgage insurance on GSE risk-sharing transactions and non-agency MBS prompted some concerns from industry participants.

With the non-QM market heating up, opportunities abound for whole loan trading desks, with firms such as Incenter, MIAC, RAMS Mortgage Capital and Situs AMC playing a key role.

PIMCO is set to issue a non-agency MBS with loans sourced from non-QM deals issued by Lone Star Funds. The older MBS were subject to clean-up calls, allowing PIMCO to re-package the loans.

David Applegate is stepping down as CEO of Common Securitization Solutions, the platform that launched the uniform MBS.