For issuers that are able to demonstrate a history of successful hedging, Ginnie Mae could allow them to reduce the level of capital they must hold, according to a senior Ginnie official.

By taking steps to shore up the financial standing of nonbank lenders and servicers, Ginnie Mae is providing confidence to both MBS investors and warehouse lenders.

Investors are showing strong demand for various types of esoteric ABS, including data center securitizations, whole-business transactions and deals tied to music royalties.

Until recently, originations and MBS issuance were on the rise. But rising rates have introduced uncertainty in the secondary market.

The $166 million unrated deal is the first in a shifting strategy for the RTL lender.

The $500 million securitization is backed by proceeds from future remittance transactions sent from within the U.S. to Mexico.

Attendance at the ABS East conference hit another record this week, with investors showing strong demand for structured finance products. Issuance is expected to remain elevated, helped by interest rate moves.

A whopping $91.6 billion of existing CLO deals were reset and refinanced during the third quarter, lifting year-to-date volume to $184.8 billion. While issuance of new CLO deals is also up strongly from 2023, third-quarter volume was down.

Issuance of MBS with non-qualified mortgages is growing even as insurance companies increase their purchases of non-QMs as whole loans. Investor demand for the products looks likely to remain strong.

A panel of mortgage industry veterans concluded that the best scenario MBS investors can hope for in the upcoming election is that neither side wins a clean sweep of the presidency and Congress.