Mark Hanson’s leadership was essential to the successful 2019 launch of the Uniform Mortgage-Backed Security, the most significant change to the $4 trillion To-Be-Announced market in a generation.
As Freddie Mac senior vice president of securitization, Hanson helped conceive the UMBS, which combines aspects of Freddie Mac and Fannie Mae MBS into a single, more liquid instrument.
Hanson’s commitment to teamwork and consensus-building among a diverse set of teammates and stakeholders contributed to this success.
He coordinated the work of hundreds of people within Freddie Mac and many more across the housing finance industry. His tireless efforts have included traveling the globe to build the confidence of overseas investors, gathering brokers and traders at UMBS conferences in New York to address questions and concerns about the security, providing requested and trusted expert advice to officials, and giving numerous media interviews explaining the economic rationale for the UMBS.
In the last year alone, his efforts have helped yield an IRS ruling on the tax treatment of the UMBS; new FHFA rules to facilitate the launch of both the new security and the proprietary Common Securitization Platform that administers it; and updated SIFMA rules for good delivery in the TBA market.
The result of these efforts has been a remarkably smooth transition. Just six months after the launch of forward trading in March, more than $16 trillion of UMBS has traded, and $200 billion of Freddie Mac’s legacy participation certificates have converted to UMBS.
What one habit has made a crucial difference in your success?
“The best habit for a leader is to be the boss you wish you had: Recognize the needs and accomplishments of others. Give them a chance to grow, achieve and amaze. When they need your help and support, dive in.”
