Mortgage Bankers Association

Securities Exchange Commission (SEC) and the White House are considering creating a separate system for structured debt investments. Goods in mortgage obligations (CMOs) and guides business-backed securities (CMB) and other derivatives including guides.

As a professional commercial real estate finance and a former employee of a bank on Wall Street's largest investment, I can not supportamendments.
The Real Estate Roundtable, the Mortgage Bankers Association and the National Association of Realtors and the Commercial Mortgage Securities Association has also opposed the idea.

Original commercial loan is the biggest part of the company in our business. The crisis of liquidity to support the bond market have crippled the banking system. Now is not the time to further confusionbusiness changes in the way investors assess the income-producing securities.

I, along with many other professionals and professional groups that do not support the transparency and full disclosure of mortgage debt, but feel that the different ratings for different types of platform guides could mislead investors and their investment decisions more difficult and time consuming.

Ratings should apply to the ability of a target company to payments of interest and principle, when due. Theynot need to highlight a special type of paper for checks, because the confidence that your back is currently in fashion. If a review of the risks incurred in connection with bonds because of the current situation of credit more observable, are free to make an issue of consequence. It can certainly be within the current structure and assessments can be made known. A new system is completely useless.

Regulatory intervention in the mechanisms of the bond market at this time of crisisinvolves a real risk of doing more harm than good. The time required to design, test, implement and learn the new system could be something that the boom in the bond market, which may be on the horizon slowly.

There is no doubt that the rating agencies Fitch and Standard & Trails, Moody's and Duff & Phelps, dropped the ball in the build up to melt the mortgage. They must respond to recent evaluations that have given a false sense of security for 'purchaser of debt. All the major players in the game ratingsis to review and renew their analysis and classification methods. If not that would be more credible, and would lose business. Their clients and institutional investors, public officials say they have nothing better to do a job, and agencies to respond. E 'as it should be in a free market economy.

The SEC and the Bush administration needs to adopt a slow pace and only in green if they do not reform on its own.