Two real estate investment trusts with jumbo mortgage correspondent and conduit operations have scaled back their activity due to strong competition from banks. “The majority of today’s jumbo mortgage activity is being driven by banks originating or acquiring loans for their balance sheet,” said Stanford Kurland, chairman and CEO of PennyMac Mortgage Investment Trust. PennyMac had ramped up its jumbo activity in the second quarter of 2013 with $107 million in fundings. In the third quarter of 2013 ...