The “very conservative terms” of the “qualified residential mortgage” definition proposed by federal regulators, taken together with the risk-retention requirements, the premium capture rule and other provisions, will provide a “significant and undue competitive advantage” to the GSEs over private-market mortgage-backed securities participants, according to the American Securitization Forum.In comments submitted to regulators on the proposed rule earlier this month, the ASF said that securities guaranteed by the GSEs will be able to be securitized free from the risk-retention requirements. This would result in the non-QRM loans that back such securities having lower costs to borrowers and more attractive terms than similar loans offered by private-market participants.