RMBS

The growing amount of cash that MBIA expects to see in the coming years from mortgage loan putbacks could boost the company’s balance sheet by billions of dollars, according to a third-quarter earnings conference call Wednesday.

Despite the primary markets somewhat opening and previously retained offerings being placed in 2010, the overhang of retained securitized debt stayed significant, according to the quarterly report, according to a report from the Association for Financial Markets in Europe (AFME) and the European Securitization Forum (ESF).

Credit Suisse is marketing a €1.5 billion ($2.05 billion) covered bond, marking the bank's debut into this European sector.

Moody's Investors Service weighed in on the widespread foreclosure-document problems with a report Wednesday questioning whether custodians followed industry standards in tracking and holding original mortgage notes in their files.

Citigroup, an active seller of nonperforming residential loans, recently sold a $1.4 billion pool of multifamily and commercial mortgages to OneWest Bank, Pasadena, Calif., for an undisclosed sum.

Regulators are close to the final version of the implementation of minimum due diligence requirements under the European Capital Requirements Directive Rule 122A.

Conceptually speaking, packing thousands of modified Federal Housing Administration (FHA) loans into Ginnie Mae pools should reduce prepayment speeds. In fact, that’s what some Wall Street dealers were counting on, but it appears they bet the wrong way, and their securitization strategy backfired.

BlackRock hopes to invest upwards of $1 billion in jumbo mortgages with the hope of eventually issuing securities backed by the loans, according to secondary market officials familiar with the plan.

Federal regulators should allow three-year ARMs and certain interest-only loans to be classified as "qualified mortgages" that will be exempt from risk retention rules, according to the Mortgage Bankers Association (MBA).

Ambac Financial Group hurried into bankruptcy protection this week because it was worried the Internal Revenue Service (IRS) might gut the entire company — including its sacrosanct bond insurance subsidiary, according to court documents.