Net Interest Margin Security


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Net Interest Margin Security

A security based on the value of excess cash flows received by a mortgage-backed security. That is, if an MBS receives more cash flows than are needed to make coupon and principal payments to holders, it may place these cash flows into a different account and issue NIMS entitling the holders to these cash flows.
References in periodicals archive ?
New Century Financial Corporation (Nasdaq: NCEN) announced today the issuance of a Net Interest Margin security ("NIM") by the Company, backed by $380 million of fixed and adjustable-rate mortgage loans which were securitized and issued last month as New Century Home Equity Trust, Series 2001-NC1.
Those factors include, but are not limited to, residential real estate values, competition, general economic conditions such as changes in interest rates and the demand for non-conforming loans, availability of funding, loan prepayment rates, delinquency and default rates, lower than expected performance by acquired companies, changes in the legal and accounting standards regulating the mortgage industry, changes which influence the loan securitization and the net interest margin security markets generally, market forces affecting the price of the IMC Mortgage Company's shares, and other risks factors identified in IMC Mortgage Company's Securities and Exchange Commission filings.
Those factors include, but are not limited to, residential real estate values, competition, general economic conditions such as changes in interest rates and the demand for non-conforming loans, availability of funding, loan prepayment rates, delinquency and default rates, changes in the legal and accounting standards regulating the mortgage industry, changes which influence the loan securitization and the net interest margin security markets generally, and other risks factors identified in IMC Mortgage Company's Securities and Exchange Commission filings.