Monday, 30 May 2016
Last updated 2 days ago
Jan 11 2007 | 9:32am ET
Times are tough for sub-prime mortgage lenders, so the price may be right for hedge funds.
Ameriquest, one of the country’s largest sub-prime mortgage lenders, has engaged JPMorgan Securities to shop it to potential buyers, including to fixed-income hedge funds, according to Asset Securitization Report.
One of the potential buyers approached was Old Greenwich, Conn.-based residential mortgage bond hedge fund Ellington Capital Management. The New York Post reports that the JPMorgan bankers gauged the fund’s interest, but that Ellington hasn’t decided if it wants to move forward and receive an offering circular.
Ellington has some $4.5 billion in assets under management, two-thirds of which is in mortgage bonds.