Four of the 11 regional Federal Home Loan Banks saw double-digit declines in net income in the first quarter, even though total assets grew for the period. (Includes three data tables.)

Some economists suggest Fannie and Freddie should accept mortgages that include a modest prepayment penalty as a way to keep residential mortgage rates lower. But that would be a political challenge.

Milliman researchers calculate that the capital benefit Fannie Mae and Freddie Mac receive for their CRT activity reduces their capital requirement by about 20%.