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  • Hedge fund D.E. Shaw is launching the Alkali Fund in July, which will invest in residential mortgage-backed securities, consumer asset-backed debt, toxic loans, including European loans, among other instruments. .
  • Prepayments of loans from Fannie Mae and Freddie Mac in mortgage-backed securities declined in April after two consecutive months of increases, according to Keefe, Bruyette & Woods.
  • The Federal Reserve Bank of Boston had praise for mortgage-backed securities during the financial crisis, saying, compared with most investments, they were “highly transparent and their issuers willingly provided a great deal of information to potential purchasers.”
  • David Stevens, president and ceo, of the Mortgage Bankers Association, has called on Fannie Mae and Freddie Mae to develop mortgage-backed securities common to both as a way of increasing liquidity.
  • Industry trade groups and market players are said to be meeting with administration and regulatory officials to assure that the final version of the qualified-mortgage rule of the Dodd-Frank Act will help fuel competition.
  • UBS has lost its bid to have dismissed a lawsuit filed against it by the U.S. Federal Housing Finance Agency, charging that the Swiss bank and 17 other financial institutions violated federal law in their selling of mortgage-backed securities to Fannie Mae and Freddie Mac, which the FHFA regulate.
  • Clopton Capital, a Chicago-based secondary market commercial real estate lender, has expanded its non-recourse commercial mortgage-backed securities loan options to the hospitality sector.
  • Broker-dealer firm The PrinceRidge Group has added five directors to sales and trading positions to its mortgage-backed securities division; part of a recent expansion of the group led by senior managing director and head of U.S. residential mortgage-backed securities Barry Berkeley, who joined the firm from Sterne Agee & Leach in January.
  • FIG
    Commodities trading company Trafigura used securitisation to raise funding by collateralising invoices for shipments of oil, metals and coal in a deal that could be copied as other firms in the industry seek new financing.