FDIC’s Proposed Safe Harbor Rule Poses Market Value Risk to MBS/ABS Investors
January 15, 2010
The Federal Deposit Insurance Corp.’s proposed rulemaking regarding its treatment of assets transferred to securitizations sponsored by banks in receivership could limit the damages the agency would have to pay investors, a recent report from Moody’s Investors Service said. The FDIC’s advanced notice of proposed rulemaking featured a draft scheme that would require compensation paid to...