Fannie, Freddie Increase Risk-Sharing Transactions: Fitch

Fannie Mae and Freddie Mac have boosted risk-sharing transactions in the past year by more than fourfold, according to Fitch Ratings.

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The government-sponsored enterprises in 2014 sold portions of credit risk on pools worth more than $369.7 billion, compared to $84.7 a year earlier, according to the New York-based credit rating agency.

Additionally, mortgages included in the pools have stronger credit quality than in previous years, Fitch said.

"Even compared with strong-performing vintages originated prior to 2005, the GSE reference pools have significantly higher average FICO scores," said Grant Bailey, a managing director at Fitch, in a press release.

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