Andrew Davidson & Co., Inc. Extends Valuation Services with Credit Loss Snapshot to Estimate the Present Value of Expected Cash Flows and Credit Loss on MBS Holdings
NEW YORK, July 9, 2009 — Andrew Davidson & Co., Inc. (AD&Co) today announces the launch of a new valuation service, the Credit Loss Snapshot, which provides the key credit loss metrics now required by FAS 124 and FAS 157 for credit sensitive residential mortgage-backed securities. This report extends the valuation services currently provided by AD&Co for OTTI and Level III Fair Value Pricing.
AD&Co’s Credit Loss Snapshot provides a cost-effective and concise solution to firms that need to estimate the present value of expected cash flows and credit loss on their MBS holdings. The Snapshot harnesses the power of the LoanDynamics™ Model, AD&Co’s market leading credit model, to forecast losses under a base case home price scenario. This is a CUSIP based service that provides a series of analytical and descriptive deliverables at both the collateral and bond level.
Rick Ellson, Director of AD&Co’s Valuation services remarks, “The Credit Snapshot reflects the growing demand within the RMBS community for a cost effective outsourced solution that contains the important components of the required credit disclosures.”
Over the last 12 months, AD&Co has become one of the leading providers of independent valuations of credit sensitive residential mortgage backed securities to the financial community. With over 2000 different CUSIPs with a principal balance over $50 Billion analyzed, AD&Co’s valuation service has the experience, notoriety and technical expertise to provide investors with results that will be readily accepted by the regulatory and auditing community.
For a more detailed description of the Credit Loss Snapshot including definitions of the outputs provided, terms and fees, please contact Rob Landauer at rob@ad-co.com or 212-274-9075.
About Andrew Davidson & Co., Inc.
Andrew Davidson & Co., Inc. turns mortgage data into investment insight. The firm is a leading provider of models of borrower behavior and risk analytics for fixed income investors of mortgage (MBS) and asset-backed securities (ABS) and an expert advisor in the areas of risk management, and the valuation of complex MBS and mortgage derivatives. Andrew Davidson & Co., Inc. offers prepayment models for MBS and ABS, a LoanDynamics™ Model for credit sensitive mortgage securities, and option-adjusted valuation and risk management tools for MBS, ABS, and CMOs. With a unique blend of investment expertise and cutting-edge quantitative methods, the company produces highly advanced models and the most innovative solutions to mortgage investment challenges.
