Post by
LongRoad on Jun 07, 2010 1:19pm
Comment on banking conduit
The Financial Post added this about Xceed's last press release.
An item appeared about the need for Xceed Mortgage Corp. to find to a new conduit, an entity that will allow it to sell insured mortgages destined for sale under the Canada Mortgage Bond program, given that its previous conduit has advised it won't be performing such a task past the end of next month.
Currently there are 38 financial institutions approved to sell mortgages packaged into NHA MBS securities to the Canada Housing Trust. (CHT is the entity that issues CMB's.) Xceed chief executive Ivan Wahl said yesterday Xceed "is in active discussions with a number of financial institutions which are functioning as conduits and CMB issuers and we are highly confident that we will be able to make arrangements. We have a $55-million pool that we are actively pricing with these same institutions." In June 2009, Xceed applied to become a chartered bank.
It's been a year since the application was made to be a bank. I wonder if they will have news this week on progress.