Mr Cooper Group Inc (COOP)

[Dmdmd2020]

Nhtrader,

Thanks for bringing up this topic. The following is what I posted in boardpost.net earlier:

https://www.boardpost.net/forum/index.php?topic=12629.msg223246#msg223246

“Good to see some proof of a retained percentage. In reading about WMI’s securitizaton process from an old SEC report (as I recall), they said it was their practice to retain a percentage.

Good thing, because, according to the article below, before the crisis there was no minimum ownership requirement. Hence some of the the helter skelter behind the crisis.

det

Excerpt:
“Before the crisis, there was no minimum ownership, resulting in mortgage firms simply flipping all kinds of dross at Goldman or Merrill or Bear Stearns. “This is not an originate-to-sell model; it’s an originate-to-own model,” says Fierman of Angel Oak. His firm, which buys nonprime loans from other brokers as well as originating its own, has been the most active of MBS issuers, completing four deals since 2015 worth a total of $630m. He says that Angel Oak has gone well beyond the basic 5 per cent threshold, owning as much as 10 per cent of its MBS deals at various points. “Trust has to be built with investors,” he says. “They’re watching us closely.”
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https://webcache.googleusercontent.com/search?q=cache:JCE3tDYd0ikJ:https://www.ft.com/content/3c245dee-8d0f-11e7-a352-e46f43c5825d+&cd=2&hl=en&ct=clnk&gl=us

Yes, I have seen Observer's post admitting to dumping all for DIMEQs. Perhaps the person who has a copy of that post will share it, so everyone will understand the deep animus that still fuels his posts--even ten long years later. It's downright pathological.

det
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First of all...today is the day before we hear anything regarding the WMILT QSR, which should have been released prior to August 1, 2018...so I wish GLTA for positive news regarding distributions to all stakeholders.

Now to the crux of this post!

IMO...Angel Oak Funds which had an inception date of June 27, 2011 employed former WMI employees (Friedlander and Negandhi) who were intimately involved in WMI Securitizations:

https://www.sec.gov/Archives/edgar/data/1437249/000119312512277215/d369570d485apos.htm#pro369570_4

Starting at bottom of PDF page 37 of 118:

“Portfolio Managers

Brad A. Friedlander is a Managing Partner of the Adviser, and he is the Lead Portfolio Manager of the Fund. Mr. Friedlander has 12 years of capital markets and asset management experience across an array of fixed income products. Prior to the Adviser,

Mr. Friedlander spent 5 years as a portfolio manager with Washington Mutual in Seattle, Washington, where he managed over $8 billion across RMBS, ABS, US government and Agency portfolios. He also served as the chief strategist behind the institution’s $25 billion investment portfolio. Mr. Friedlander’s previous experience includes 4 years on the trading desk of J.P. Morgan in New York. Mr. Friedlander received a Bachelor’s degree in Economics from the University of Rochester.
Ashish Negandhi is a Managing Director of the Adviser and Portfolio Manager of the Fund. Mr. Negandhi has 9 years’ portfolio management experience in fixed income products. Prior to the Adviser, Mr. Negandhi spent 2 years building and managing the investment grade corporate bond and CLO fixed income portfolio of $1 billion to $2 billion at Washington Mutual in Seattle, Washington. As portfolio manager, he was involved with macro trading strategies, performance analysis against market benchmarks and monitoring credit default and interest rate risk for the portfolio. Mr. Negandhi also worked as a Program Manager at Amazon in Seattle, where he led the Internal Fraud Prevention and Detection program for Amazon’s payment and financial systems. Mr. Negandhi received a MBA from University of Washington and Bachelor’s degree in Computer Science from Georgia College.
The Fund’s SAI provides additional information about the Fund’s portfolio managers, including their compensation structure, other accounts managed, and ownership of shares of the Fund.”

___________________________

Ihub post #530876 by nhtrader:

Cited an annual report for 2016 filed on January 2017.

PDF Page

“CBA09? Angel Oak Funds Trust- N-Q for 4/1/18

Could you weigh in on these for us please?


https://www.sec.gov/Archives/edgar/data/1612930/000119312517103914/d340594dncsr.htm




Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2003-S12, Class 3A, 5.000%, 11/25/2018
116,491 116,573
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2004-AR3, Class B1, 3.485%, 6/25/2034 (e)
1,854,486 1,803,209
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2005-AR4, Class A5, 3.712%, 4/25/2035 (e)
1,818,293 1,822,235
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR12, Class 1A4, 3.330%, 10/25/2036 (e)
5,695,458 5,531,098
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR14, Class 2A3, 3.016%, 11/25/2036 (e)
1,857,119 1,773,075
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR14, Class 2A2, 3.016%, 11/25/2036 (e)
345,687 320,464
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2007-HY6, Class 1A1, 3.176%, 6/25/2037 (e)
4,575,734 4,324,814
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2004-AR10, Class X, 0.930%, 7/25/2044 (e)(f)
34,304,883 1,008,015
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2005-AR11, Class X, 0.733%, 8/25/2045 (e)(f)
70,080,336 1,988,530
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2005-AR13, Class X, 1.138%, 10/25/2045 (e)(f)
61,322,678 2,557,646
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2005-AR13, Class A1A1, 2.162% (1 Month LIBOR USD + 0.290%), 10/25/2045 (a)
3,409,486 3,361,951
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2005-AR15, Class X, 0.847%, 11/25/2045 (e)(f)
52,608,030 3,049,424
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2005-AR19, Class A1B2, 2.307% (1 Month LIBOR USD + 0.410%), 12/25/2045 (a)
168,034 166,803
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR1, Class 2A1A, 2.448% (12 Month US Treasury Average + 1.070%), 1/25/2046 (a)
2,958,573 2,953,209
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR7, Class 2A, 2.358% (12 Month US Treasury Average + 0.980%), 7/25/2046 (a)
1,499,372 1,411,179
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR9, Class 2A, 2.316% (11th District Cost of Funds Index + 1.500%), 8/25/2046 (a)
8,988,696 8,480,628
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR9, Class 1A, 2.378% (12 Month US Treasury Average + 1.000%), 8/25/2046 (a)
3,866,815 3,595,682
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR13, Class 1A, 2.258% (12 Month US Treasury Average + 0.880%), 10/25/2046 (a)
7,152,284 6,367,057
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR13, Class 2A, 2.277% (11th District Cost of Funds Index + 1.500%), 10/25/2046 (a)
2,244,777 2,147,403
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2006-AR17, Class 1A, 2.102% (12 Month US Treasury Average + 0.820%), 12/25/2046 (a)
3,640,582 3,308,263
Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2007-OA2, Class 1A, 2.078% (12 Month US Treasury Average + 0.700%), 3/25/2047 (a)
8,171,316 7,172,863
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2003-MS7, Class P, 0.000%, 3/25/2033 (c)
6,745 5,926
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2005-4, Class CB9, 2.297% (1 Month LIBOR USD + 0.400%), 6/25/2035 (a)
186,988 159,646
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2005-4, Class CB3, 2.347% (1 Month LIBOR USD + 0.450%), 6/25/2035 (a)(j)
20,372,522 16,675,337
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2005-7, Class 3CB, 6.500%, 8/25/2035
1,024,460 893,257
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2005-9, Class 5A3, 3.247% (1 Month LIBOR USD + 1.350%), 11/25/2035 (a)
3,549,538 2,742,596
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2005-AR1, Class A1A, 2.157% (1 Month LIBOR USD + 0.260%), 12/25/2035 (a)
5,784,936 5,367,038
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2005-10, Class 4CB3, 2.497% (1 Month LIBOR USD + 0.600%), 12/25/2035 (a)
4,294,884 3,673,212
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2005-11, Class A2, 5.750%, 1/25/2036
4,285,422 3,836,130
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-AR1, Class A1A, 2.147% (1 Month LIBOR USD + 0.250%), 2/25/2036 (a)
3,726,225 3,185,725
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-8, Class A1, 2.017% (1 Month LIBOR USD + 0.120%), 10/25/2036 (a)
14,627,117 8,092,248
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-8, Class A3B, 4.526%, 10/25/2036 (d)
4,177,732 2,630,179
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-8, Class A5, 4.526%, 10/25/2036 (d)
10,337,664 6,902,965
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-AR10, Class A2A, 2.067% (1 Month LIBOR USD + 0.170%), 12/25/2036 (a)
10,099,275 8,895,856
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2007-HY1, Class A1, 1.987% (1 Month LIBOR USD + 0.090%), 2/25/2037 (a)
5,614,671 3,784,979
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2007-HY1, Class A2A, 2.057% (1 Month LIBOR USD + 0.160%), 2/25/2037 (a)
9,612,733 7,797,253
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2007-HY1, Class A3A, 2.127% (1 Month LIBOR USD + 0.230%), 2/25/2037 (a)
9,672,746 7,935,492
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2007-3, Class A19, 6.000%, 4/25/2037 (j)
12,501,667 12,166,734
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2007-OC2, Class A3, 2.207% (1 Month LIBOR USD + 0.310%), 6/25/2037 (a)
2,769,556 2,535,609
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-AR3, Class A1A, 2.348% (12 Month US Treasury Average + 0.970%), 5/25/2046 (a)
14,331,875 11,772,904
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-AR5, Class 4A, 2.368% (12 Month US Treasury Average + 0.990%), 6/25/2046 (a)
4,527,769 3,922,723
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-AR8, Class 3X1, 0.545%, 10/25/2046 (e)(f)
26,467,711 947,782
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-AR8, Class 2A, 2.228% (12 Month US Treasury Average + 0.850%), 10/25/2046 (a)(j)
23,126,959 19,943,117
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2006-AR9, Class CX2P, 0.846%, 11/25/2046 (e)(f)
67,932,452 1,308,922
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2007-OA3, Class 2A, 2.128% (12 Month US Treasury Average + 0.750%), 2/25/2047 (a)
4,924,393 4,187,256
Washington Mutual Mortgage Pass-Through Certificates WMALT Trust, Series 2007-OA3, Class 5A, 2.066% (11th District Cost of Funds Index + 1.250%), 4/25/2047 (a) ”


PDF page 34 of 87

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IMO...conclusions:

1) With the help of the former WMI employees, Angel Oak invested into multiple MBS Trusts created by WMI subsidiaries.

2) The above references MBS Trusts were Still performing and paying out the certificate holders (investors in MBS Trusts including the Residual Tranches which WMI Escrow Holders have beneficial interests)

3) If Angel Fund claims that participation may have been over 5%, then it’s possible that WMI participated over 5% too, since Friedlander was one of the people responsible for those securitizations.