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MCLEAN, Va., May 09, 2019 (GLOBE NEWSWIRE) -- Freddie Mac today announced that its Credit Risk Transfer program was honored with the Residential Mortgage-Backed Security (RMBS) Deal of the Year Award for STACR® 2018-HRP1. The award, from the international capital markets news and data service Global Capital, was presented to Mike Reynolds, Freddie Mac’s Vice President, Credit Risk Transfer.
“We're proud to receive this award, which not only celebrates the successful STACR program but also the hard work of our dedicated and talented CRT teams,” said Kevin Palmer, Freddie Mac’s Senior Vice President, Single-Family Portfolio Management. “This is just another example of Freddie Mac’s continuous effort to create a better housing finance system for homebuyers while decreasing risk and providing unique investment opportunities for investors.”
This award-winning deal was issued in May 2018 and was the first agency CRT trust structure that allowed investors to reduce their counterparty exposure to Freddie Mac and offered an expansion in the international investor base within Class B notes.
Freddie Mac pioneered the single-family agency CRT market in 2013 when it first launched its credit risk transfer program, STACR. STACR reduces the U.S. taxpayer’s exposure to Freddie Mac through the issuance of unsecured notes whose principal payments to investors are determined by the performance of a reference pool consisting of recently acquired single-family mortgages from a specified period.
Freddie Mac’s CRT business has transferred credit risk away from U.S. taxpayers on close to $1.3 trillion in single-family mortgages since the inception of the CRT program. More than 45 percent of Freddie Mac’s current $1.9 trillion single-family portfolio has a form of CRT coverage.
About Freddie Mac
Freddie Mac makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since our creation by Congress in 1970, we’ve made housing more accessible and affordable for homebuyers and renters in communities nationwide. We are building a better housing finance system for homebuyers, renters, lenders, investors and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog FreddieMac.com/blog.
MEDIA CONTACT: Fred Solomon