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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: russwinter who wrote (49598)	1/12/2006 3:29:19 PM
From: Ramsey Su	Read Replies (2) \| Respond to of 110194

Russ, I'm going to be listening to these calls and pouring over the results and 10-Qs looking for this, and to save time, it would be nice if others joined in? I am glad you are joining in. There will now be 2 of us. <ggggg> Here are a couple issues on top of my watch list: 1. Lenders' portfolio. Recently, FBR, LUM and now AHM all had to mark down their losses. I think the majority of the lenders, be it prime, subprime, regulated or unregulated have all been increasing the size of their loan portfolios during 2005. I understand some of them have been moving loans off balance sheet so they can show a gain on sale without actually selling to gain. I don't understand the acct rules that allow them to do that. Regardless, would they all eventually have to come clean like the others? 2. Look at MTG's PR list specifically pertaining to CBASS. phx.corporate-ir.net MTG and RDN are the majority owners of CBASS. CBASS buys loans at an unknown discount from unknown sellers. I wonder if CBASS had been quietly taking all the bad loans from everyone, so the delinquency rate seems so much better than reality (since CBASS do not have to report). MTG said this morning that expect CBASS contribution to go down 5%ish for the year. Why? Too many bad loans? Not enough discount?