In recent years, with the public availability of AI tools, more people have become aware of how closely the inner workings of ...

To be sure, active MBS hedgers have dwindled, falling from a peak of 27% of all investors who hold mortgages in their portfolios in 2002 to 6% currently, so the impact of convexity moves is likely ...

NEW YORK (Reuters) -The recent drop in U.S. yields has raised speculation that a wave of buying of Treasury securities and derivative products called interest rate swaps by mortgage portfolio ...

This is called "negative convexity" and leaves investors with lower portfolio duration than their benchmark. While 64% of outstanding mortgages are locked into interest rates below 4%, about 16% have ...

NEW YORK (Reuters) -The recent drop in U.S. yields has raised speculation that a wave of buying of Treasury securities and derivative products called interest rate swaps by mortgage portfolio managers ...

Investors also hedge against negative MBS convexity by buying so-called "receivers" in the swaptions market, in which the buyer pays a premium for the right to receive a fixed rate on a swap.

Investors also hedge against negative MBS convexity by buying so-called “receivers” in the swaptions market, in which the buyer pays a premium for the right to receive a fixed rate on a swap.

How to get rid of negative thoughts with a simple trick that can retrain your brain By Carly Stern Published Dec. 17, 2024, 1:57 p.m. ET ...

Despite interest rates coming down, New Zealand’s economy is being pushed further into recession by government austerity measures. Basic macro-economic analysis shows why.