Freddie Mac, Fannie Mae and Ginnie Mae in over $7.2 Billion Mortgage-Backed Securities Deals in May
June 1, 2017
In May, Cleary Gottlieb represented the underwriters, including Amherst, Citigroup, Goldman Sachs, Jefferies, JP Morgan, Morgan Stanley, Mizuho and Nomura in 22 Freddie Mac, Fannie Mae and Ginnie Mae mortgage-backed transactions, representing $7.2 billion of mortgage-backed securities. This activity brings total agency mortgage-backed deals handled by the firm so far in 2017 to more than $41.8 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.