This content is from: Innovation

Banks Rush To Buy Agency MBS

Commercial banks have increased their purchases of agency mortgage-backed securities by 50% since the end of 2010, reports Bloomberg.

Commercial banks have increased their purchases of agency mortgage-backed securities by 50% since the end of 2010, according to data from the Federal Reserve. As of May 4, MSB purchases hit a record $1.16 trillion, as banks seek to boost earnings with bonds backed by Fannie Mae, Freddie Mac and Ginnie Mae over government debt, which pays less.

Click here to read the story from Bloomberg.

Related Content