1/25/2010

The Federal Deposit Insurance Corp. is looking into packaging assets from collapsed banks into securities. The move is an effort to revitalize the mortgage-backed bond market. Sources said the plan is in its initial stages. The FDIC's books contain more than $36 billion in assets from failed banks. "The FDIC is going to be a big issuer in the securitization markets this year," said Christopher Whalen, managing director of Institutional Risk Analytics. "This could lead the way in terms of recreating the securitization market, as the FDIC deals could end up being the new template."

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