Prime MBS issuance was up 15% from the third to the fourth quarter, while ECM production faded 15%. The sole growth market in 2023 was home-equity loan securitization. (Includes three data tables.)

Ginnie Mae remained the fastest-growing sector of the agency servicing market in the fourth quarter, while Fannie Mae posted a small decline. (Includes two data tables.)

Make no mistake about it, all sectors slowed in the fourth quarter...

Agency MBS issuance declined by 41.1% on an annual basis in 2023.

The ABS market was the only sector in structured finance to boost production in 2023, although issuance slipped in the fourth quarter. Residential MBS accounted for most of last year’s steep decline.

There weren’t many bright spots in the agency market last year, but a handful of lenders saw sales climb in the fourth quarter.

Buybacks from the GSEs declined by 29.0% in the third quarter compared with the previous quarter.

Total residential MBS holdings rose 6.3% to $384.87 billion and ABS holdings, while much smaller, were up 20.4%.

Guidance from on-high helped push lender buybacks of GSE loans sharply lower in the third quarter, particularly at Freddie. (Includes three data tables.)

Bank holding companies reported a big increase in agency MBS held in trading accounts during the third quarter. The industry also boosted its commercial MBS and ABS holdings. (Includes two data tables.)