Hedge funds led by Paulson & Co. and Maverick Capital are piling into mortgage insurers in a bet that some of the companies worst hit by the U.S. housing crash will be among the biggest winners in the rebound.
Robert Kelly, former Bank of New York Mellon Corp. chief executive officer, was named chairman of the Canada Mortgage & Housing Corp. in the government’s latest move to bolster oversight of the federal housing agency.
Genworth Financial Inc., the seller of life insurance and long-term care coverage, posted the second- biggest gain in the Standard & Poor’s 500 Index after the unit backing U.S. home loans reported its first profit since the financial crisis.
NMI Holdings Inc., which raised $550 million last year to start a mortgage insurer, must face claims in a lawsuit by Arizona regulators including breach of fiduciary duty and unfair competition, a California judge ruled.
Four mortgage insurers will pay more than $15 million in penalties to settle claims they paid illegal kickbacks to lenders in exchange for business, the Consumer Financial Protection Bureau said today.
The once-moribund private mortgage insurance industry is increasing market share and raising cash as it presses its advantage in lobbying Congress to consider changes that would reduce the role of the Federal Housing Administration, its dominant government rival.