Intercontinental Exchange, Inc. (NYSE: ICE), one of the world's leading providers of financial market technology and data powering global capital markets, today announced the launch of Residential Whole Loan Evaluations. This new service extends ICE’s well-established evaluated pricing process to individual, unsecuritized loans, bringing increased model-driven transparency to the market.
Residential whole loans have been among the fastest growing segments of fixed income yet have lacked a structured price infrastructure. ICE Residential Whole Loan Evaluations fills the gap between securitized and unsecuritized markets, providing the same transparent pricing to the whole loan market that has long been available for securitized instruments.
“For years ICE has delivered comprehensive and transparent evaluated pricing for a broad range of financial instruments,” said Varun Pawar, Chief Product Officer, Data Services at ICE. “Bringing this service to the residential whole loans space provides our customers with one pricing source across different loans, and we look forward to continuing to expand into other areas within the mortgage ecosystem.”
The Residential Whole Loan Evaluations service utilizes ICE’s established evaluated pricing process and is overseen by a group of experienced evaluators to deliver transparent, model driven pricing across various loan types, spanning qualified mortgage loans, non-qualified mortgage loans, and specialty collateral. The methodology incorporates client provided loan specific data, proprietary data sets and analytics from ICE’s mortgage and data service business, including:
- ICE AFT Prepayment and Credit Model: projected prepayments, defaults and delinquencies.
- ICE Home Price Index: micro-level home price data across 28,000 zip codes for more precise and current Loan-To-Value (LTV).
- ICE Origination Data: anonymized data with daily updates from 3,000+ contributing lenders, used to calibrate spread and yield inputs.
ICE Whole Loan Evaluations can support a broad range of market participants and use cases across the residential mortgage space. Evaluations can be calculated at a daily or monthly frequency and delivered via secure file delivery through the ICE Data API.
ICE provides fixed income evaluations on approximately three million instruments, reference data across global markets, and indices across all asset classes, with $2 trillion in AUM benchmarked to them. For connectivity and data access, ICE offers a suite of desktop solutions and data feeds, as well as the ICE Global Network, which offers high-quality content, delivery and execution services through ultra-secure, highly resilient fiber and wireless networks.
