The National Credit Union Administration is back in the market, this time with $2.82 billion of guaranteed securities backed by commercial mortgages.
This will be the second time the agency taps the securitization market to rid itself of $50 billion of tainted assets it acquired as a result of its takeover of five corporate credit unions. These wholesale credit unions are the bankers for retail credit unions, and they became saddled with mortgage-backed securities that carried nonperforming loans.
In the first such sale, the NCUA sold $3.85 billion of residential mortgage securities to strong investor demand.
