April 21, 2008
Freddie to Finance Jumbo Loans | online.wsj.com
Freddie Mac (GSE - Government-Sponsored Enterprises) wastes no time and begins to finance $10 billion to $15 billion in jumbo mortgages from big lenders. This follows the actions of other GSE's to add liquidity into the real estate market. I sincerely believe that this effort will help to flatten out the sagging real estate market and brace the industry with a solid floor to grow from. Please, congress... keep up the good work and continue to CHANGE the mortgage lending industry. Times and technology have CHANGED in such ways to help prevent another mortgage lending liquidity crisis in the future. Surely, many current homeowners which owe mortgages on their homes, are currently feeling the bite of rate cap creep and overall monthly mortgage payment increases. And many unhappy borrowers which cannot continue making the payments, will look to congress to CHANGE the lending industry rules to help them 'work out' solutions with their lenders, WITHOUT BURNING THE INVESTOR.
Steady Freddy... Fannie... Penny and the FHA
April 21, 2008
Mortgage applications up, FHA index climbs more | www.reuters.com
Current 'so called' mortgage metrics are not necessarially useful now or in the future. Ratios and numbers can always leave room for interpretaion and misdiagnosis. Definately positive refi action is taking place for the strapped borrowers and principal committed investors; the GSE's should keep this effort going. However... If foreclosure mitigation and borrower forbearance refinancing are counts which are included in overall refinancing - well that can blurr the condition of the lending industry and the real estate market's overall recovery.
Firms like WaMu are pass-thru lenders. Ease investor anxiety NOW
April 21, 2008
WaMu Ditches the Wholesale Mortgage Biz | www.businessweek.com
a) Ease investor anxiety NOW b) Secondary Mortgage Market Investors have been worried that recent data indicate a slowing economy, which would continue to cut into potential profit growth and actual principal at some of the nation's biggest mortgage companies, and portfolios.
Patterns and behaviors CHANGE - and then CHANGE again...
April 17, 2008
WaMu Ditches the Wholesale Mortgage Biz | www.businessweek.com
a) it does appear that the independent mortgage broker is going the way of the independent insurance agent and the independent fee based financial planner b) technlogy will be key in providing the independent mortgage broker, the acutal end-user (borrower) and actual owner-buyer-investor of the mortgage more fair (APR - common comparrison tool) choices
Move compliance metrics to the front
April 17, 2008
Study: subprime crisis spurs lawsuits | money.cnn.com
a) existing federal, state amd municpal compliance check and balances exist b) move Rating Agency solutions to subprime mortgage losses in the large secondary market traunces into the origination systems & procedures
Commodity Hedging-The Double Edged Sword
March 31, 2008
Against the Grain: Food Firms Hedge Costs | online.wsj.com
With ever rising commodity costs food companies that have hedged their key commodity purchases with forward buying have done quite well over the last year.Several key manufacturers have announced that they have hedged their raw materials by forward buying 60-70% of their 2008 needs.Lost in the discussion has been the potential for commodity prices to go down in the latter half of 2008.
Very profitable business - eats you alive if you don't watch it closely
March 18, 2008
Standard Insurers Nab More Nonstandard Auto Biz | www.propertyandcasualtyinsurancenews.com
1) Full Disclosure - Mark Mariotti ran a nonstandard auto operation (California admitted MGA with Ohio company underwriting) in Southern California during the 1970's & '80s with a direct-marketing model and a non-internet online (yes back then) reservation style quoting system. Our loss ratios were VERY LOW. 2) Basically it is risk versus reward. Many cannot obtain auto insurance whatsoever with a messy MVR - thereby opening the doors for a very aggressive and systemized firm to take on the risk. 3) Technology will make this very specific segment profitable as long as the operator watches the loss-ratio and g&a expenses like scrooge.
Kraft and Sara Lee turnaround ? Real or wishful thinking ?
March 14, 2008
Kraft, Sara Lee say turnaround efforts are succeeding | www.chicagotribune.com
Kraft and Sara Lee executives recently spoke at analyst conference concerning their recent improvements to drive sales growth and improve operating margins.Both suggested the progress is real and sustainable. Kraft highlighted new products and headcount reduction as keys to their progress.New products are clearly needed and our key to drive future sales growth.The job cuts they mentioned are real and should help them provide a lower cost basis to expand marketing and potentially improve margins at the same time. Sara Lee also touted new product innovation and organizational restructuring as means to improve their growth and enhance profitability.Pricing is also key at both companies as they face strong headwinds in the face of commodity inflation. Do we believe both CEO's assertions and are better days ahead for both companies ?
From womb to tomb - have we got a card for you!
March 12, 2008
Ameriprise Financial and MasterCard Worldwide Launch Credit, Debit Product Suite | biz.yahoo.com
1) Amerprise has been aggressive ever since its Personal Advisor and Banking separation from Amercan Express 2) MasterCard appears to be the predominate card network
What is the next step for Apple
January 28, 2008
Are Investors Unfairly Sour on Apple? | www.businessweek.com
The Apple stock price went from $10 to $200 in less than 7 years. This is a remarkable performance but most investors are worried and would like to have insights on Apple's next move.
Switzerland sues Google over Street View privacy concerns
November 13, 2009
Here Come the Droids! A brief review of Verizon Wireless' new Droid line-up.
November 11, 2009
October 30, 2009
Vodafone Orange Iphone Deal Ends Two Years Exclusivity Of O2 In UK
October 5, 2009
IPhone Coma Mode puts Apple in the ICU
September 19, 2009