Private-label

Mortgage companies must properly vet their third-party vendors to ensure that there is no litigation, fraud allegations, or other risky behavior that might create risk for them.

A former Jefferies & Co. managing director convicted of fraud for lying to customers about the price of mortgage-backed securities sued the AllianceBernstein Holding LP executive who reported him.

Fannie Mae veteran Karen Pallotta has joined Redwood Trust's board of directors. Pallotta's recent role at Fannie was as executive vice president of the single-family credit guaranty business, which she assumed during the height of the financial crisis.

Seer Capital Management is getting more bullish on U.S. commercial real estate. The $2.1 billion hedge fund firm, started by ex-Deutsche Bank AG executive Phillip Weingord, is planning a fund dedicated solely to buying the riskiest pieces of bonds backed by commercial properties, according to a presentation, a copy of which was obtained by Bloomberg News.

The expiration of the Terrorism Risk Insurance Assistance program on Dec. 31 will have "repercussions" for the economy, according to Fitch Ratings.

JPMorgan Securities is arranging a $353 million RMBS securitizing 677 prime pre-crisis mortgages originated by Merrill Lynch Credit Corp.

If the Securities and Exchange Commission bans Standard & Poor's from rating commercial mortgage-backed securities, as it is reportedly planning to, bonds backed by a single, large asset would be hit disproportionately, according to JPMorgan.

Marketplace lender Social Finance may pursue a larger initial public offering than expected, CEO Mike Cagney said. Progress in its mortgage business and a new lending app will be pivotal to the company's future, he said.

The private equity firm Aquiline Capital Partners has reached an agreement to become the majority investor in LenderLive Network.

Commercial mortgage-backed securities risk as measured by an index of underwriting and macroeconomic variables is up 11 points from 2013. That's still below its 2007 level, a researcher noted Thursday.

Six years after a global financial crisis exacerbated by the lack of transparency in the market for U.S. mortgage debt, regulators are planning only a small step toward offering the public more information on trading.

A controversial legal theory on discrimination threatens to disrupt consumer lending and poses a potential liability for anyone securitizing these loans.

Goldman Sachs is preparing to bring its first post-crisis prime jumbo residential mortgage-backed securities transaction to market.

A Redwood Trust subsidiary priced a $200 million aggregate principal amount of its 5.625% exchangeable senior notes due 2019 in a private offering to institutional buyers.

The deals are backed by a fixed-rate loan with a term of 10 years, the longest loan tenure to date for such deals.

Credit Suisse's DLJ Mortgages is marketing a reperforming mortgage securitization, according to Kroll Bond Rating Agency.

Bond investors are wresting higher yields from landlords in the fledgling business where rental homes are financed by credit markets.

The New York unit of Japanese securities firm Nomura Holdings may be three traders short after reportedly placing them on leave, but the firm is said to have muscled away a large auction held yesterday.