MBS & ABS Performance

Browse articles from all of our Newsletters related to MBS & ABS Performance.

December 7, 2018 - Inside The GSEs

VantageScore Hires Fannie Official; Ups the Ante on its War with FICO

VantageScore Solutions has hired Emre Sahingur, a former chief risk officer for model risk management at Fannie Mae, as senior vice president for predictive analytics, research and product management.


November 30, 2018 - Inside MBS & ABS

Retail Store Closures an Ongoing Concern for Commercial MBS Performance

Despite a robust economy, retailers are still floundering in a shifting business environment. Recent bankruptcy filings and store closures by retailers are posing risks to certain commercial MBS, according to several reports.


November 30, 2018 - Inside MBS & ABS

FHFA Report Shows Little Deviation in Prepayment Speeds for Fannie and Freddie TBA Securities in 3Q18

Prepayment speeds for recently issued Fannie Mae and Freddie Mac MBS in the to-be-announced market were closely aligned during the third quarter, according to a new report from the Federal Housing Finance Agency.


November 16, 2018 - Inside FHA/VA Lending

GNMA’s Liquidity Concerns Prompt Demand for Contingency Plans

Increasingly worried about the financial condition of its largest nonbank issuers amid declining market conditions, Ginnie Mae in late October shot off a liquidity letter to 14 companies, asking them to develop contingency plans. The identity of the firms was not revealed to Inside FHA/VA Lending, but it’s no secret which companies rank among the top echelon of issuer/servicers. The five largest nonbank Ginnie MBS servicers as of Sept. 30 are PennyMac Financial Services, Lakeview Loan Servicing, Freedom Mortgage, Quicken Loans and Mr. Cooper. According to the letter, a copy of which was obtained by this publication, Ginnie wants the companies to develop strategies to right-size their operations. One of the agency’s goals is to lay the groundwork for financial stress tests that all issuer/servicers eventually must meet. Ginnie expects to sit down with the executive management teams of the ...


November 16, 2018 - Inside FHA/VA Lending

Ginnie Mae Continues to Tighten Issuer Standards, Accountability

This week, Ginnie Mae issued an all-participants memo dictating new standards for firms seeking to become issuers, including the stipulation that applicants submit to a corporate credit evaluation. Ginnie said the financial exercise will be “similar to those employed by credit rating agencies.” The evaluation will determine whether an applicant is qualified to be an issuer or whether additional criteria should be imposed even if the basic standards are met. Applicants that rely on a subservicer arrangement will be scrutinized even more. The bulletin also notes that, effective immediately, the agency is implementing new notification requirements for MBS issuers engaged in “certain subservicer advance or servicing income agreements, which do not require prior Ginnie Mae approval, but can impact an issuer’s ongoing liquidity position and financial obligations.” While Ginnie currently permits subservicers to advance ...


November 16, 2018 - Inside MBS & ABS

MBS Trading Volume Hits a Four-Month High, But Anxiety Prevails in the Overall Mortgage Market

The average daily trading volume in agency MBS increased to $222.7 billion in October, the best reading since June, according to figures compiled by the Securities Industry and Financial Markets Association.


November 8, 2018 - Inside MBS & ABS

MBS and ABS Issuance at a Glance: November 9, 2018

A full page of issuance data and MBS market indicators.


November 2, 2018 - Inside FHA/VA Lending

GNMA Sees Growing Need for Financing of Nonbank MSR

Ginnie Mae officials would welcome a return of commercial banks to the program, but they are not planning on it. Instead, the agency is looking the other way: at expanding financing options for nonbank portfolios of mortgage servicing rights. The current version of Ginnie’s acknowledgement agreement has been successful, enabling nonbank servicers to arrange MSR financing for virtually their entire portfolios, said Michael Drayne, a senior vice president at Ginnie, during the Residential Mortgage Finance Symposium sponsored by the Structured Finance Industry Group this week in New York. Although a number of banks are financing nonbank servicing portfolios, many are still not participating, he said. Karen Gelernt, a partner at Alston & Bird, noted that many banks continue to have anxiety about what will happen if a servicer defaults on its Ginnie requirements. Speaking as moderator on a panel with ...


Poll

With loan volumes declining, does your shop have plans to enter the non-QM lending market in 2019?

Yes, definitely. A solid move forward.
Yes, but only incrementally.
We’re pondering a move into non-QM, but haven’t made up our mind.
No, definitely not. We view it has too risky.

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