"Given these latest figures cover the key
settlement month of January they show there are no signs of wage inflationary pressures building up in the manufacturing sector."
The secondary marketing department should determine for each forward type, settlement month and coupon, what the mortgage banker's net long or short position is, based on a loan-by-loan analysis of likely settlement month and market value sensitivity analysis.
Second, pricing glitches will occur once a month when the projected settlement month for new rate-lock commitments rolls back a month, unless the secondary marketing department factors in interest carry from loan closing date to forward settlement date.
From the analysis, it is evident that the example mortgage banker, who has priced all his loans "to the screen," (i.e., equal to the likely
settlement month, forward-market prices) is, perhaps unknowingly, building in a substantially smaller profit margin on some commitments than on others.
Brad Pitt and Angelina Jolie reach custody
settlement months after bitter divorce row
Rounds initially filed for sole custody of their child, but the estranged couple finally reached
settlement months later.
Hedging strategies also combine financial and statistical models that optimize the placement of hedge coverage between optional and mandatory delivery systems, forward programs and
settlement months.
