Replies to post #783163 on Fannie Mae-No Politics (FNMA)

[FOFreddie]

Thanks Guido - seems like if TH is saying the GSEs are being "looted" they probably are. Does anyone else know why he is saying the underwriting fees are excessive?

[FOFreddie]

Thanks Guido - it really struck me that TH said the CRT Underwriters were "looting the GSEs"

He is the FNMA CRT Link:

https://capitalmarkets.fanniemae.com/credit-risk-transfer

Here is the info for a tranche in 2023. You can see big name underwriters but DAV and DEI focused members of the selling group. The selling group members are many of the same firms over and over - most likely a good business.

The question is where the "looting" taking place - is the Underwriter just adding on a payment to the selling group? Seems like something the GSE OIG should look into?