Increased regulatory scrutiny in recent years has included a greater focus on how mortgage-related assets such as servicing rights are recorded on the books, a risk some are mitigating by finding ways to ensure their values are substantiated.

Larger servicers have had to be careful to incorporate factors such as delinquency rates if assets are distressed, for example, said Loren Morris, SVP/general counsel and chief compliance officer at Retreat Capital Management, an industry advisory firm and services provider who has clients in this space.

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