not sure if anyone here would know, but im trying to find what teh different mbs pools in canada stand for? for example, i have the following pools and i dont know which ones are floating rate vs fixed, or which ones are open vs closed: 964, 965, 966, 967, 970, 975, 985, 990. any ideas? also if anyone has an idea which pools are issued by which companies, taht would be very helpful. thanks in advance!
http://www.cmhc-schl.gc.ca/en/hoficlincl/mobase/upload/NHA-MBS-Guide.pdf Pool types start on page 30 http://www.cmhc-schl.gc.ca/en/hoficlincl/mobase/inci/index.cfm Look through the circulars for the other info you are looking for.
thats good stuff thanks a lot big babbu!
sorry big babbu can i ask you one more question. do you know what the difference between 96 pools and 97 pools are? from what i understand, 99 are social housing (non prepayable). 98 are floating rate mortgages. but 96 and 97 are both fixed-rate, residential mortgages. i cant seem to differentiate the general difference between the two groups. i know the first link you sent has a description of each pool but im sure there must be a big difference in general between 96 and 97 pools. thanks!
The differences between the 96 and 97 pools basically lies in how the mortgage prepayment penalties are disbursed. Some pools penalties are passed along to the investor, other pools they are retained by the issuer. So the first document I listed earlier will tell you what types of mortgage are allowed under each issue type, and I pulled this segment below out of the circular that tells you how the penalties are to be disbursed under each type. “For 964 pool types, the full amount of any prepayment penalty or indemnity, disclosed in this addendum must be passed through to the Investor without exception. For 967 pool types, the full amount of any prepayment penalty or indemnity disclosed in this addendum is retained by the Issuer. For 970 pool types, prepayment penalties or indemnities paid by mortgagors will be retained by the Issuer if a mortgagor elects to prepay a mortgage pursuant to any of the prepayment privileges set out in the mortgages and summarized in Summary of Prepayment Provisions for Mortgages in the Pool (the “Prepayment Provisions”). In the event that the Issuer permits a mortgage to be prepaid or renegotiated prior to the 3rd anniversary date in circumstances other than those permitted under the Prepayment Provisions, the Issuer will pass through to the Investor an indemnity (the “Rate Differential Indemnity”) calculated as set out below. For 975 pool types, prepayment penalties or indemnities paid by mortgagors will be retained by the Issuer if a mortgagor elects to prepay a mortgage pursuant to any of the prepayment privileges set out in the mortgages and summarized in Summary of Prepayment Provisions for Mortgages in the Pool (the “Prepayment Provisions”). In the event that the Issuer permits a mortgage to be prepaid or renegotiated prior to the 5th anniversary date in circumstances other than those permitted under the Prepayment Provisions, the Issuer will pass through to the Investor an indemnity (the “Rate Differential Indemnity”) calculated as set out below.”
thanks a lot!