Hints and tips:
...This is especially the case since the Ginnie/Fannie swap is cheap relative to history (Exhibit 1 and 2)....
...After the run on SVB, banks will probably need to reduce their holdings of mortgage-backed securities that are guaranteed by the likes of Fannie Mae and Freddie Mac....
...Goldman Sachs and Morgan Stanley will deposit $2.5bn each, while five other banks will each deposit $1bn....
...It also approves applications by Goldman Sachs and Morgan Stanley to become bank holding companies and allows them to access emergency loans, and lends up to $85bn to insurer AIG in return for a government...
...(FT) Fannie and Freddie’s fumble With Donald Trump in power, hedge funds rolled the dice on the privatisation of the US mortgage-finance giants....
...She was previously a managing partner at private investment group Freemont, and before that, a managing director at General Atlantic and a vice-president of M&A at Morgan Stanley....
...More than two decades after Fannie Mae’s Franklin Raines became the first African American to run a Fortune 500 company, just four companies on that list have black chief executives....
...Morgan Williams told Moral Money....
...However, BofA reckons that the poor performance of “agency” mortgage-backed securities created by Fannie Mae or Freddie Mac — which have faced headwinds from the Fed shedding MBS from its balance sheet —...
...Fannie Mae named Hugh Frater as its next chief executive on Wednesday. Frater had held the interim chief executive role since last October and has been on the group’s board since 2016....
...The government should resist the pressure to save Lehman Brothers, as it had Bear Stearns and Fannie Mae and Freddie Mac, the mortgage institutions, I wrote....
...For what it’s worth, GE remains a critical client to the likes of JPMorgan, Goldman Sachs, Citi and Morgan Stanley....
...Fannie and Freddie might require government support once again....
...Granted, standards in nonprime are generally looser than those that apply to mortgages eligible to be bought by government agencies such as Fannie Mae....
...His career flourished at the Wall Street bank, and his assignments during the financial crisis included advising the US Treasury on how to deal with mortgage backers Fannie Mae and Freddie Mac....
...It said Goldman had sold $11.1bn of MBS to Fannie Mae and Freddie Mac, the state-backed mortgage finance agencies, even as “significant percentages of the underlying loans . . . had materially poorer credit...
...EU banks’ assets were 274 per cent of output in 2013, compared with 83 per cent for US banks, which can offload the balance sheet risk of mortgage loans to agencies such as Fannie Mae....
...Because Goldman and Morgan Stanley are investment banks, they cannot easily provide relief to strapped homeowners, so they may end up financing new construction....
...It did so by investing into the next best thing to safe government debt: US government sponsored enterprise paper (Fannie, Freddie etc)....
...Earlier this year Morgan Stanley paid $1.3bn to settle a lawsuit brought by the Federal Housing Finance Agency, which alleged the bank misled Fannie Mae and Freddie Mac who bought the securities....
...Government agencies sued BofA for the mortgage-backed securities that Countrywide allegedly dumped on Fannie Mae and Freddie Mac. JPMorgan was charged and fined for fraud alleged against Bear and WaMu....
...John Stumpf said government-backed agencies that buy mortgages, such as Fannie Mae, Freddie Mac and the Federal Housing Administration, were too quick to accuse banks of faulty underwriting on mortgages...
...Morgan Stanley has been forced to restate its fourth-quarter earnings after agreeing a $1.3bn settlement with a US regulator over $11bn in mortgage-backed securities it sold to Fannie Mae and Freddie Mac...
...Next on the list of targets for the Department of Justice are the smaller issuers, including Goldman Sachs and Morgan Stanley....
...The agreement covers $57.5bn of securities sold to Fannie Mae and Freddie Mac by Bank of America, Countrywide, and Merrill Lynch entities....
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