Federal Nat Stock Price, News & Analysis

Fannie Mae has successfully completed its last Credit Insurance Risk Transfer (CIRT) transaction of 2021, covering $30.7 billion in unpaid principal balance of fixed-rate loans from April to June 2021. This transaction transferred nearly $1.2 billion of mortgage credit risk to private insurers and reinsurers. It is noted as the largest risk transfer since the program's inception in 2014. Moreover, Fannie Mae has acquired about $15 billion of insurance on approximately $537 billion of loans through the CIRT program to date.

Fannie Mae (OTCQB: FNMA) has appointed Chryssa C. Halley as Executive Vice President and Chief Financial Officer, effective November 29, 2021. Halley, an experienced leader within the company since 2006, will oversee financial management and strategic research. Jim L. Holmberg has been promoted to Senior Vice President and Controller, becoming the principal accounting officer. These leadership changes aim to bolster Fannie Mae's commitment to becoming a leading ESG company and ensure the safety and soundness of the housing finance system.

Fannie Mae (OTCQB: FNMA) has released its October 2021 Monthly Summary, detailing key metrics of its operations. This report includes insights into Fannie Mae's gross mortgage portfolio, mortgage-backed securities, interest rate risk measures, serious delinquency rates, and loan modifications. This summary plays a critical role in showcasing Fannie Mae's ongoing efforts to support affordable housing options across the United States and its commitment to enhancing the home buying process.

Fannie Mae (FNMA) announced the results of its fixed-price cash tender offers for Connecticut Avenue Securities (CAS) Debt Notes. A total of $3,134,035,239 in original principal amount was tendered by the deadline of November 19, 2021. Notable tender percentages included 82.22% for Series 2016-C03 and 92.93% for Series 2017-C02. The settlement date for accepted Notes is expected on November 23, 2021. BofA Securities and Barclays acted as lead managers for this process.

Fannie Mae's November 2021 commentary highlights significant inflation concerns, projecting an annual average of 6.2% in Q4 2021. The Federal Reserve may begin raising interest rates in Q4 2022 if inflation persists. Economic growth for 2023 is forecasted at 2.1%, supported by consumer spending and inventory restocking. Home sales expectations are revised upwards, with $1.9 trillion in mortgage originations projected for 2021. However, housing construction remains constrained due to supply chain issues, with anticipated growth of 4.8% in single-family home starts for 2022.

On November 16, 2021, Fannie Mae priced its Connecticut Avenue Securities (CAS) Series 2021-R02, a $984 million offering representing its second issuance of the year. The deal attracted significant investor demand and is based on a reference pool of approximately 125,000 mortgage loans worth about $35 billion. The securities aim to transfer credit risk and enhance financial transparency. Fannie Mae will retain portions of the 2M and 2B tranches to align interests with investors. With this transaction, Fannie Mae has issued over $49 billion in CAS notes since inception.

Fannie Mae (OTCQB: FNMA) has initiated cash tender offers for Connecticut Avenue Securities® (CAS) Debt Notes, set to expire on November 19, 2021. The total amount for the notes is approximately $3.22 billion, with specific offers ranging per note from $1,017.50 to $1,058.50. BofA Securities is the lead dealer manager, while Barclays serves as a dealer manager. Holders must tender their notes by the expiration to receive the tender offer consideration, with expected settlement on November 23, 2021. Forward-looking statements regarding the offers are included in the release.