Mortgage-Backed Securities


Collateralized Mortgage Obligations (CMOs)

JVB has assembled a CMO Trading Team with over 50 years combined experience, with product knowledge encompassing both New Issue and Secondary Agency CMO trading combined with Whole Loan trading. This results in a wide range of CMO offerings as well as idea sharing and trading strategies.

Pass-Through Securities

Pass-Through Securities are the building blocks of the MBS market. JVB is active in most aspects of the specified pool market in all three agencies (GNMA, FNMA, and FHLMC), with particular expertise in the seasoned arena.

Commercial Mortgage Backed Securities (CMBS)

Commercial Mortgage Backed Securities (CMBS) are securitized commercial mortgage loans backed by mortgages on commercial properties such as multifamily apartment buildings, office towers, industrial buildings, hotels, and retail shopping malls. Commercial mortgage securities are usually collateralized by fixed-rate mortgages that are locked out from prepaying for 5 to 10 years but may also have floating-rate bonds collateralized by shorter-term prepayable mortgages. The pool of securities has a multiclass structure starting with investment-grade bonds that are rated triple-A extending all the way down to unrated junior class bonds. If any mortgage loan defaults, losses are allocated to the lowest rated bonds and recoveries are credited to the senior-level investment-grade bonds. This allocation of loss enables the entire collateral loan pool to be sold to a variety of investors.  JVB can provide specific issue color and analysis on current markets and future projections for returns and performance.

MBS Derivatives

Adjustable Rate Mortgage Securities