Obstacles like how to deal with the implicit guarantee and excessively high capital requirements make it unlikely that the GSEs will exit conservatorship under Trump, though the chances are higher than before his election.

The MBS is stocked with investment-property mortgages eligible for sale to the GSEs. Bayview Asset Management last issued a non-agency MBS on its Oceanview shelf in October 2022.

The $525 million ABS backed by private loans was placed exclusively with funds and accounts managed by PGIM.

Mortgage real estate investment trusts can still sell unsecured notes to investors, but it’s not as cheap as it was a few years back.

The fund will invest in subordinate asset tranches of ABS.

Deals backed by leases and loans to consumers to buy cars and other vehicles continued to set the pace in ABS issuance last year. But the only sector to see increased volume in the fourth quarter was ABS backed by unsecured consumer loans. (Includes three data tables.)

The new licensing requirement represents a major shift for the MBS market, with participants scrambling to either comply or avoid loans in the state. A challenge to the requirements appears likely.

The debate over how to end the conservatorships of Fannie Mae and Freddie Mac hinges on whether rating services would downgrade the GSEs if they exit without an explicit government guarantee.

Although Acra Lending could have new owners soon, it continues to strike partnerships. The latest one involves selling non-QMs to an insurance company.

The settlement includes $19.4 million in disgorgement of profits the SEC said BMO generated between December 2020 and May 2023 through misleading sales of agency CMOs.