If the non-agency MBS market wants to avoid harsh regulations, it should seriously consider self-governance as an option, the Structured Finance Association believes.
The SEC’s Office of Credit Ratings is exploring how it can address conflicts of interest in ratings of MBS and ABS. An increase in performance-related disclosures and boosting unsolicited ratings are being considered.
DoubleLine Capital has picked up a minority stake in OptionWide Financial, while MFA Financial has put its might behind five non-qualified-mortgage lenders.