Pricing & Valuation

MIAC Analytics™ software value all types of asset classes ranging from the most pristine pass-through assets to the most highly structured risk retention pieces.

Risk Retention

 

Core Competencies

  • MSR and whole loan valuation and brokerage,
  • Macro-factor prepay and credit models (MIAC CORE™)
  • Loan due diligence and advanced data auditing capabilities
  • Historical loan performance measurements
  • CECL, CCAR, DFAST, ROE, and ALM modeling and stress testing
  • Risk Retention Analysis
  • MSR Hedging and risk management

 Reasons for valuation include:

  • Determine net asset valuation (NAV),
  • ASC 820 fair market valuations,
  • Risk management decision-making,
  • MSR & whole loan portfolio sales,
  • Merger & acquisition advisory,
  • Collateral analysis for warehouse lenders,
  • Fairness opinions for M&A participants.

Model Validation

MIAC is an SEC Registered Investment Advisor subject to SSAE-16 audits on our software development and business control procedures by Baker Tilley, LLP.

We’ve taken many steps to ensure lofty compliance standards including:

  • Sarbanes-Oxley assumption tracking tools, permission control tools, and cash flow validation tools fully integrated in our software,
  • Fully validated asset cash flows and option-adjusted spread (OAS) model,
  • Fully validated interest rate derivative pricing for swaps, swaptions, caps, floors, eurodollars, amortizing swaps, treasury futures, and options,
  • Asset valuations governed by MIAC Valuation Committees.

MIAC Differentiators

  • Value $3.3 trillion across 20 million loan records on over 170 whole loan valuation assignments
  • Completed over 850 residential and 120 commercial MSR valuation assignments in 2015 for over 210 diverse financial institutions
  • Nationwide, MIAC values 25% of all outstanding residential MSRs every single quarter
  • Value in excess of $1.2 trillion in notional UPB for residential MSR assets
  • Price approximately 7% of the mortgage origination market, every day
  • Provide consumer, student and SBA loans and MSR valuations for key participants in the Marketplace Lending Industry
  • MIAC has a whole loan trading desk that places residential loans, commercial loans, performing and non-performing assets. The trading desk plays a significant role in valuing a wide range of different assets.
  • MIAC is a leading broker of MSR assets. Based on these trades, MIAC knows where MSR trades and who buys these assets.
  • MIAC utilized industry leading behavioral models to value mortgage assets. Our CORE™ behavioral model in concert with Vision™, our asset/liability application produces reliable and readily defendable asset valuations.