Dr. Wachter. I believe the credit risk transfer can play a role in continuing to ensure Fannie and Freddie are significantly less risky than before the financial crisis. But I think There is a concern about CRT that it's been an underused tool by [Fannie Mae and Freddie Mac] in recent years. I guess you could say. So what are your thoughts on CRT using Fannie and Freddie? Particularly regarding concerns of the ability for CRT to be countercyclical and prepayment risk eroding coverage there? (02:52–02:56)
CLAIM
Asserts that CRT has been underutilized by Fannie Mae and Freddie Mac recently.
This is an excerpt from a raw transcript. The assertions have not been audited or verified. Tap the video to view the source footage and understand the context.
