Interesting write-up-review & file preservation from libertyroadmedia on...
"...Basics of Fannie Mae Single-Family MBS
February 6, 2012
Basics of MBS Market & Pool
In general, mortgage-backed securities are commonly called "MBS" or "Pools" but they can also be called
"mortgage pass-through certificates." An investor in a mortgage-backed security -- the certificateholder -- owns
an undivided interest in a pool of mortgages that serves as the underlying asset for the security. Interest
payments and principal repayments from the individual mortgage loans are grouped and paid out to investors.
The mortgages that back a Fannie Mae MBS are held in a trust on behalf of Fannie Mae MBS investors and
are not Fannie Mae assets. As a Fannie Mae MBS investor, the certificateholder receives a pro rata share of
the scheduled principal and interest from mortgagors on the loans backing the security. Interest is paid at a
specific interest rate. The certificateholder also receives any unscheduled payments of principal...."
Links to articles/docs: