|
MATCHbox works
with clients to create an interest rate
neutral hedging strategy, allowing them to
leverage their locked pipelines through
the mortgage backed securities market
(MBS). Through this hedging process clients
will transition their execution from a best
effort to mandatory/AOT delivery, increasing
their gain on sale while limiting interest
rate risk.
At MATCHbox, we do
it for you. We build and manage both the
accurate reporting systems and
daily pipeline review essential in
creating the appropriate strategy to remain
interest rate neutral while maximizing
profits. Our team manages your
daily/weekly/monthly trading. We remain
constantly engaged with your internal
secondary team and work together to
ensure your profitability.
Did you know:
- As interest rates are expected to rise,
margins are likely to compress
- Investors in the secondary market have a
heightened sensitivity to best effort
pull
through and adjust prices offered to sellers
accordingly
- The MATCHbox model has proven to increase
the gain on sale by 50+bps
- Top performing mortgage bankers made
90-100bps per loan in 2009 while
most only
made 40-50bps
Hedging affords
mortgage bankers access to capital markets
to not only increase their gain on sale, but
to remain competitive and relevant
in today's market. The question should not
be whether or not you need to employ a
hedging strategy, the question should be are
we a good MATCH?
Areas of Focus:
|
