Inside MBS & ABS

ABS Issuers Weathering Rising Rates; Investors Intrigued

bivey@imfpubs.com — Thu, 22 Oct 2026 16:20:42 -0400

Issuers are having difficulties sourcing assets and are facing widening spreads. Investors are still largely supporting issuance, with many eyeing esoteric assets.

Mixed Views Among Investors in Expanded-Credit MBS

bivey@imfpubs.com — Thu, 22 Oct 2026 16:19:45 -0400

As interest rates increase, the value of outstanding expanded-credit MBS declines. Investors are responding by demanding higher spreads for new issuance, putting pressure on issuers.

Drops in Key Business ABS Sectors Slow 3Q Issuance

jbancroft@imfpubs.com — Thu, 22 Oct 2026 16:19:44 -0400

Issuance of vehicle ABS saw a healthy 10% increase in the third quarter of 2026, but the business sector recorded a 41% decline as securitization of data centers, fiber-network and aircraft finance faltered. (Includes three data tables.)

Fitch Seeks Input on New Scoring Models for MBS

azimmardi@imfpubs.com — Thu, 22 Oct 2026 16:18:47 -0400

Fitch Ratings has called for feedback on how alternative credit scores could affect its MBS rating framework.

Investor Demand for Agency MBS Expected to Be Strong

jdohnert@imfpubs.com — Thu, 22 Oct 2026 16:14:50 -0400

While rising interest rates reduced valuations of agency MBS portfolios, the higher rates are also driving demand for new issuance.

SFA Building Registry for ABS Market

jdohnert@imfpubs.com — Thu, 22 Oct 2026 16:12:52 -0400

The VeriCORE registry will digitize the transfer of consumer loans to reduce data fragmentation across assets and offer enhanced transparency among ABS participants.

Some Concerns on SEC’s Risk-Retention Exemption Move

bivey@imfpubs.com — Thu, 22 Oct 2026 16:11:53 -0400

SEC guidance exempting certain data center securitizations from risk-retention requirements has prompted concerns from investors regarding the data center market and the possibility that other issuers will seek exemptions from risk-retention requirements.

AI Disruption Risk for Structured Finance Appears Moderate

sclark@imfpubs.com — Thu, 22 Oct 2026 16:10:20 -0400

If there’s an AI bubble that bursts, the impact on the ABS market will largely be contained, according to Fitch Ratings.

Prime Loans Lead Non-Agency MBS Rebound in 3Q

jbancroft@imfpubs.com — Thu, 15 Oct 2026 15:30:00 -0400

A strong flow of jumbo mortgages and GSE-eligible loans helped boost non-agency MBS issuance in the third quarter. (Includes three data files.)

Ginnie Chips Away at Outdated Tech

ewilley@imfpubs.com — Thu, 15 Oct 2026 15:20:26 -0400

Ginnie Mae is steadily updating its outdated systems and processes, agency President Joe Gormley said.

Appeals Court Rules in Favor of Ginnie in TCB Dispute

ewilley@imfpubs.com — Thu, 15 Oct 2026 15:18:27 -0400

Ginnie Mae has the authority to extinguish a lender’s lien on the tails of pooled home equity conversion mortgages, the Fifth Circuit Court of Appeals affirmed last week.

SFA Opposes NAIC Proposal on Multi-Collateral Investments

bivey@imfpubs.com — Thu, 15 Oct 2026 15:12:29 -0400

The proposal would set higher capital requirements for multi-collateral structured credit investments by insurance companies. The Structured Finance Association is calling for additional disclosure instead.

Non-QM MBS Issuers Shifting to Sequential Structures

azimmardi@imfpubs.com — Thu, 15 Oct 2026 15:08:31 -0400

Rising interest rates have prompted some issuers of expanded-credit MBS to use sequential structures.

Estimating the Impact of the Fed’s MBS Runoff on Spreads

dhollier@imfpubs.com — Thu, 15 Oct 2026 15:06:34 -0400

Balance-sheet normalization at the Fed leads to spread widening, but with a significant lag and focused on premium coupons.

Santander Makes Subtle Adjustments to Auto ABS

bivey@imfpubs.com — Thu, 15 Oct 2026 15:03:36 -0400

The U.S. operations of Banco Santander are merging the Santander Consumer USA unit into Santander Bank. Analysts believe the operations of one of the leading issuers of auto ABS are ultimately aligned.

Two Child Education Service Providers Enter ABS Market

azimmardi@imfpubs.com — Thu, 15 Oct 2026 15:01:39 -0400

Mathnasium and The Learning Experience separately offered whole-business securitizations.

MPower Student Loan ABS Deal Faces Downgrade

ewilley@imfpubs.com — Thu, 15 Oct 2026 15:00:41 -0400

Kroll Bond Rating Agency placed the 2025 transaction on watch for a possible downgrade, citing concerns with the loss rate on the deal, and the company’s prospects more broadly.

Agency MBS Investors Take Hits, See Opportunities

bivey@imfpubs.com — Thu, 08 Oct 2026 15:56:11 -0400

Losses are widely expected for agency MBS investors in the third quarter of 2026. However, the same factors that diminish values of MBS holdings also make new investments in MBS more attractive to investors.

RTL MBS Issuers Stay Optimistic as Interest Rates Rise

jdohnert@imfpubs.com — Thu, 08 Oct 2026 15:55:13 -0400

Issuers expect to keep securitizing loans at a similar pace even as interest rates rise.

GSEs Lose Multifamily Share to CMBS, Banks

dhollier@imfpubs.com — Thu, 08 Oct 2026 15:54:15 -0400

In a high-rate environment, debt service coverage ratios determine the size of an agency refinance. Those loans may not be large enough to cover the inflation-driven debt of many multifamily properties.

Ginnie Modernizations Begin to Materialize

ewilley@imfpubs.com — Thu, 08 Oct 2026 15:53:17 -0400

Ginnie Mae has issued a flurry of program updates over the past few months, making public the work that was going on behind the scenes during a quieter period last year.

Bank-Nonbank Loan Partnerships Performing Well

bivey@imfpubs.com — Thu, 08 Oct 2026 15:52:20 -0400

No legal challenge involving bank-nonbank arrangements has led to impairment for collateral in ABS, according to Moody’s.

REITs Increase MBS Holdings in Second Quarter

jdohnert@imfpubs.com — Thu, 08 Oct 2026 15:51:22 -0400

Growth was fueled by agency MBS as REITs decreased their holdings of non-agency loans in the second quarter. (Includes two data tables.)

Law Firm Expands Structured Finance Practice

sclark@imfpubs.com — Thu, 08 Oct 2026 15:50:25 -0400

Glenn Agre Bergman & Fuentes added four attorneys to its structured financial products litigation practice this year.

UWM Hires Its First Chief Investment Officer

jdohnert@imfpubs.com — Thu, 08 Oct 2026 11:54:10 -0400

Vandad Fartaj will lead capital market initiatives and investment strategies, with an emphasis on mortgage servicing rights.

RMBS Market Breaks New Ground: $10 Trillion in June

jbancroft@imfpubs.com — Thu, 01 Oct 2026 17:00:00 -0400

Ginnie Mae and the non-agency MBS sector led residential MBS over the $10 trillion mark in the second quarter. Mutual funds and foreign investors increased their holdings. (Includes two data tables.)

GSE Portfolios Nearly Unchanged in August

dhollier@imfpubs.com — Thu, 01 Oct 2026 16:50:14 -0400

MBS purchase levels at Fannie Mae and Freddie Mac continue to disappoint lenders looking for help with interest rates, though prospects look better for September reporting.

Secondary Market Slow to Respond to VantageScore 4.0

dhollier@imfpubs.com — Thu, 01 Oct 2026 16:48:16 -0400

The third-party analytics models used by bond traders now accept VantageScore 4.0 loans, but their methodologies were designed before the confusion around loan-level price adjustment grids.

Non-Agency Securitization Rate Declines in 2Q

bivey@imfpubs.com — Thu, 01 Oct 2026 16:45:18 -0400

Interest rates on mortgages increased steadily throughout the second quarter, diminishing demand among non-agency MBS investors to some extent. (Includes data table.)

GSE-Eligible Investor Loans Gain in Non-Agency MBS

azimmardi@imfpubs.com — Thu, 01 Oct 2026 16:44:22 -0400

Some lenders are seeing better execution for GSE-eligible investment-property mortgages in non-agency MBS.