Jumbo servicing portfolios increased sequentially at most prominent servicers during the first quarter of 2019, though Wells Fargo and Chase posted declines. First Republic Bank's servicing model stands out.
Ocwen took another loss in the first quarter, with the nonbank's subprime portfolio continuing to decline. Only 2 of the top 15 subprime servicers increased their portfolios on an annual basis.
S&P's proposal to loosen rating standards for CLOs was criticized by a former chief credit officer of the rating service. Annual issuance of CLOs increased by 9% in 2018 to $129 billion, with analysts warning of performance issues.
Wells Fargo is looking like a regular issuer of jumbo MBS these days. The bank tested the market in October and January and is currently working on a $553.6 million deal.
PIMCO could raise $1 billion from an IPO for a newly-formed REIT, PIMCO Mortgage Income Trust, which will initially invest in agency MBS, followed by mortgage servicing rights.
PIMCO Mortgage Income Trust hopes to raise $1.0 billion with a planned initial public offering. The new REIT will focus its investments on agency MBS...