JPM Private Deal A Sign Of Things To Come?

JPMorgan’s new non-agency residential mortgage deal could signal a renaissance for the private-label market, not only as the bigger banks look to become active again but also potentially ending the near moratorium on banks using their own loans in private-label deals. In contrast to deals from Redwood Trust and Credit Suisse, the only issuers to tap the space since the market crash, the largest chunk of the loans included in JPMorgan’s deal—48.1%—were originated by the bank itself.