FHFA Common Securitization Infrastructure
On April 30, the FHFA issued its progress report on the steps being taken to establish a common securitization infrastructure for MBS. The FHFA is encouraging interested parties to provide written input on the progress report, and input must be received by June 30. FHFA Release. FHFA Project Report.
FHFA GSE Viability Reports
On May 3, the FHFA released reports prepared by Fannie Mae and Freddie Mac on their multifamily businesses which conclude that without government guarantees, the multifamily businesses of Fannie and Freddie have little inherent value. FHFA Release. Fannie Mae Report. Freddie Mac Report.
FSOC Annual Report
On April 30, the FSOC released its 2013 annual report required pursuant to the Dodd-Frank Act. The report focuses on seven key themes: (i) vulnerability to runs in wholesale funding markets that can lead to destabilizing fire sales; (ii) the reliance of the housing finance system on government and agency guarantees; (iii) operational risks; (iv) reliance on reference interest rates, including LIBOR; (v) resilience to interest rate risk; (vi) long-term fiscal imbalances; and (vii) U.S. sensitivity to possible adverse developments in foreign countries. FSOC Report.
SEC Proposed Rules for Cross-Border Swaps
On May 1, the SEC proposed rules and interpretive guidance for parties to cross-border security-based swap transactions. Comments on the proposed rules must be submitted within 60 days of publication in the Federal Register. SEC Release and Fact Sheet.