Data Dictionary
Item Number 6528
PRINCIPAL ONLY STRIPS - (PRINCIPAL AMOUNT OF UNDERLYING COLLATERAL) - UNDERLYING COLLATERAL RATES - WEIGHTED AVERAGE REMAINING TERM (IN MONTHS)Call confidentiality applies to FFIEC 031/041.
| Series | Start Date | End Date | Confidential? | Reporting Forms |
|---|---|---|---|---|
| SVG76528 | 1989-06-30 | 1992-12-31 | Yes | Multiple Forms |
| SVG86528 | 1989-06-30 | 1992-12-31 | Yes | Multiple Forms |
| SVGL6528 | 1989-06-30 | 1992-12-31 | Yes | Multiple Forms |
Data Description:
Includes the weighted average remaining term in month. Example: Assume an institution has purchased two FNMA Principal Only Strips. The first has an underlying collateral pool with outstanding principal of $100, a weighted average coupon rate of 10.50% on the mortgages in the pool and a weighted average remaining term of 360 months. (The rate on the underlying collateral is used as opposed to the pass-through rate on an Agency Security.) The second has an underlying collateral pool with outstanding principal of $200, a weighted average coupon rate of 11.75% and a weighted average remaining term of 330 months.
The institution reports $100 in the More Than 20 Years column opposite the 10.00 - 10.99 category (Line H740) and $200 in the More Than 20 Years column opposite the 11.00 - 11.99% category (Line H742).
Weighted Average = $100(360 months) + $200(330 months) = $300 Remaining Term 340 Months
The reporting treatment of Principal Only Strips is analogous to the treatment of Interest Only Strips. Institutions should obtain underlying collateral characteristics prior to the purchase of the security.
NOTE:
Data reported under mnemonics SVG7 thru SVG8.