IMN's 2019 ABS East

Miami, FL

Richard Cooperstein was a member of the panel on "Agency RMBS Update: GSE Reform, QM Patch Expiration."

Discussion Points:

  • Outlook for GSE reform under new leadership
  • Are the GSE’s still casting too large of a shadow for PLS RMBS and CMBS to come back to pre-crisis (‘04-’06) volume and product array?
  • Will the eventual expiration of the non-QM patch even the playing field for private label originators?

Eknath Belbase was a member of the panel on "The Flight to Whole Loan Trading."

Discussion Points:

  • Are investors voting with their feet by flocking to the whole loan market vs. RMBS?
  • Did the RMBS structure truly improve post crisis if investor appetite is less and less?
  • What are investors finding more appealing about purchasing whole loan portfolios? Is it the improved transparency? The ability to place their own servicer?
  • Are whole loans liquid? By taking whole loans and putting them by the billions into a mutual fund, are they truly liquid? Are we trading off lack of control and – potential credit risk for increased liquidity risk?
  • Is the investor flight to whole loan purchases a sign they have given up on PLS RMBS? Will the lack of legacy RMBS to purchase further fuel flight to the whole loan market?