There were significant adjustments in bank mortgage-backed holdings over the third quarter, but the net effect on these holdings for the third quarter stays unchanged compared to the previous one.

In a JPMorgan Securities report released recently, analysts noted that the top 25 banks' total MBS holdings dipped by $6.2 billion - which comprised $2.8 billion in passthroughs and $3.4 billion in CMOs - in 3Q06. Over the quarter, there have been some considerable changes in holdings among the top five banks. However, the net effect among the top 25 was comparatively unchanged, with overall holdings down by 1%. Bank of America, Wachovia Corp., and Wells Fargo sold $43 billion, $13 billion, and $19 billion, respectively.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.