In March, Cleary Gottlieb represented the underwriters, including Barclays, Citigroup, Goldman Sachs, JP Morgan Chase, Morgan Stanley, RBS and Wells Fargo, in 20 Freddie Mac, Fannie Mae and Ginnie Mae mortgage-backed transactions, representing more than $16 billion of mortgage-backed securities. This activity brings total agency mortgage-backed deals handled by the firm in 2010 to more than $44 billion.
In general, the “agency” transactions involve the issuance of mortgage-backed securities, in each case guaranteed by Freddie Mac, Fannie Mae or Ginnie Mae. Ginnie Mae is part of the U.S. government, while Freddie Mac and Fannie Mae are government-sponsored, publicly-owned companies. In each transaction, the underlying assets were residential mortgage loans. The cash flows on these mortgages support the issuance of securities. The securities were issued in multiple classes.