Cohosted by the Urban Institute and CoreLogic
Credit risk transfers from the government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac have become a core business operation for each of them. In 2015, both exceeded their targets outlined in the Federal Housing Finance Agency scorecard, and the target has been raised for 2016. As credit risk transfers on newly acquired single-family mortgages continue to expand, our panel of experts explored the importance of credit risk transfers and the steps that can be taken to improve this already successful program. We framed potential improvements by examining the investor perspective and an overview of the tax, accounting, and legal aspects of the transactions. The panel discussed the expansion of risk-sharing deals, including the introduction of deeper mortgage insurance, updates to legacy regulatory requirements to help increase the investor base in these assets, and steps to increase transparency and provide market participants with more reliable information.
Faith Schwartz, senior vice president, government and public affairs, CoreLogic
Andy Davidson, president, Andrew Davidson and Co. Inc.
Rohit Gupta, president and CEO, Genworth US Mortgage Insurance
Laurie Goodman, director, Housing Finance Policy Center, Urban Institute
Bill Roth, chief investment officer, Two Harbors
Howard Altarescu, partner, Orrick, Herrington and Sutcliffe LLP
About Sunset Seminars
This seminar was the seventh in a series sponsored by CoreLogic and the Urban Institute, focusing on public policy issues relevant to the mortgage market. These seminars aim to bring together policymakers, practitioners, and analysts for lively conversations on topics of current interest.