The Federal Reserve is considering an auction for a large portfolio of subprime-mortgage bonds and is consulting with BlackRock Inc. about the process, according to people familiar with the matter. The prospect of an auction comes after American International Group Inc. earlier this month formally offered $15.7 billion to buy the bonds from the Fed, which took over the portfolio in 2008 to help the government-controlled insurer stem a cash bleed. A sale would mark another step in federal regulators’ efforts to wind down bailouts and emergency-assistance programs set up during the financial crisis.
Fed mulls auction for AIG bonds
Most Popular Articles
Latest Articles
Rocket delivers $291M profit amid improved margins and MSR acquisitions
The Detroit-based lender reported a GAAP net income of $291 million from January to March, its highest profit level in two years.