Those Burgers and Tacos Are Actually Backing Bonds

Reposted from 6.10.19 Bloomberg article: "Cumulative gross issuance of whole-business securitizations reached about $35 billion at the end of 2018, compared with about $13 billion just four years earlier, according to S&P. The past two years have been banner years...

Figure Technologies, Jefferies and WSFS Institutional Services Close $1 Billion Financing Facility on Blockchain

Reposted from 5.9.19 Press Release: " Figure Technologies, Inc. (Figure™), a leading fintech company in both the home equity and blockchain space, has closed an up to $1 billion uncommitted asset-based financing facility on the Provenance.io blockchain with Jefferies...

DBRS: Non-QM credit quality considerably improved vs. pre-crisis Alt-A and Subprime

Reposted from 5.6.19 DBRS commentary: "...Some market participants have equated them to pre-crisis Alt-A or subprime mortgages. However, DBRS deems the credit quality of non-QM securitizations issued to date to be considerably improved from pre-crisis standards (ATR...

JP Morgan sells first non-QM mortgage bond

Reposted from 4.10.19 IFR article: "...JP Morgan sold a roughly US$440m securitization of prime jumbo mortgages that do not meet qualified mortgage rules on Wednesday, a first for the bank according to ratings agencies. The bonds are tied to prime jumbo mortgages that...

Options for Reforming the Mortgage Servicing Compensation Model

Reposted from 4.19.19 Urban Institute article: "...some believe that the structure of servicing compensation must be changed to better align servicing costs and revenues for performing and nonperforming loans in a manner that will improve outcomes for servicers and...

Inflated Credit Scores Leave Investors in the Dark on Real Risks

Reposted from 4.7.19 Bloomberg article: "Borrowers with low credit scores in 2019 pose a much higher relative risk,” said Cris deRitis, deputy chief economist at Moody’s Analytics. “Because loss rates today are low and competition for high-score borrowers is fierce,...

Centerbridge Partners owned Cascade Receives Fitch Manufactured Housing Specialty Servicer Rating

Reposted from 1.8.19 Fitch article: "MH makes up a meaningful part of residential housing in the U.S., and accounted for approximately 10% of new homes in 2018. Loan originations differ in underwriting standards for chattel (home only), land-home, FHA, and community...

Pre-crisis Non-Agency RMBS Gains Over 11% in 2018

Reposted from 12.26.18 Bloomberg article: "... bonds supported by home loans without government backing have gained more than 11 percent in 2018... Companies broadly have high debt levels relative to earnings after a decade of low rates, but consumers have been more...

Student loan debt more than doubled since 2009, from $675 Billion to over $1.4 Trillion, of which over 90% is government guaranteed.

Reposted from 12.17.18 Bloomberg article: Some borrowers are performing worse than others potentially due to underemployment as they "entered the labor force when the unemployment rate was twice as high as today and may have found it difficult to find a career track...

Cross River Bank raises $100MM led by KKR.

Reposted from 12.4.18 Alt Assets article: Cross River is the originator for many marketplace lending securitizations by Upstart, Marlette, Affirm among others. Previously the company raised $28MM back in 2016.Services Valuation Advisory Meet the Team News &...

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Those Burgers and Tacos Are Actually Backing Bonds

Reposted from 6.10.19 Bloomberg article: "Cumulative gross issuance of whole-business securitizations reached about $35 billion at the end of 2018, compared with about $13 billion just four years earlier, according to S&P. The past two years have been banner years...

JP Morgan sells first non-QM mortgage bond

Reposted from 4.10.19 IFR article: "...JP Morgan sold a roughly US$440m securitization of prime jumbo mortgages that do not meet qualified mortgage rules on Wednesday, a first for the bank according to ratings agencies. The bonds are tied to prime jumbo mortgages that...

Options for Reforming the Mortgage Servicing Compensation Model

Reposted from 4.19.19 Urban Institute article: "...some believe that the structure of servicing compensation must be changed to better align servicing costs and revenues for performing and nonperforming loans in a manner that will improve outcomes for servicers and...

Inflated Credit Scores Leave Investors in the Dark on Real Risks

Reposted from 4.7.19 Bloomberg article: "Borrowers with low credit scores in 2019 pose a much higher relative risk,” said Cris deRitis, deputy chief economist at Moody’s Analytics. “Because loss rates today are low and competition for high-score borrowers is fierce,...

Pre-crisis Non-Agency RMBS Gains Over 11% in 2018

Reposted from 12.26.18 Bloomberg article: "... bonds supported by home loans without government backing have gained more than 11 percent in 2018... Companies broadly have high debt levels relative to earnings after a decade of low rates, but consumers have been more...

Cross River Bank raises $100MM led by KKR.

Reposted from 12.4.18 Alt Assets article: Cross River is the originator for many marketplace lending securitizations by Upstart, Marlette, Affirm among others. Previously the company raised $28MM back in 2016.Services Valuation Advisory Meet the Team News &...

FDIC chair: We need to be preparing for the next downturn

Reposted from 12.4.18 Yahoo Finance article: Comments from FDIC Chair on the next downturn and bank exposure to CLOs. "Regulators are good at regulating the last crisis". Need to look at what is "not obvious right away"Services Valuation Advisory Meet the Team News...

Online lending: US fintechs gain from behaving more like banks

Reposted from 11.12.18 Financial Times article: When Noah Breslow rang the opening bell at the New York Stock Exchange in the week before Christmas 2014, it was a high point — perhaps the high point — for the fledgling online lending industry. The company he ran,...

FDIC chair: Risk has shifted from banks to mortgage servicers

Reposted from 10.24.18 Yahoo Finance article: "One of the nation’s top bank regulators says the banking system is safe, but worries about risks at non-bank financial institutions, particularly mortgage servicers. The remarks from Federal Deposit Insurance Corp. Chair...

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