Fannie Mae and Freddie Mac may receive at least a temporary exemption from risk-retention requirements for securitizations, according to Moody’s Investors Service. Just last week, the federal government indicated that the government-sponsored enterprises would indeed be subject to risk retention. Moody’s also said regulators may use a definition of qualified residential mortgages that closely follow the GSE’s current underwriting standards as to minimize the impact on the housing market.
