Press about Imperial Fund

Imperial Fund Mortgage Trust is preparing to tap the capital markets for $408.8 million in residential mortgage-backed securities (RMBS), in a deal where A&D Mortgage plays an enormous role.

KBRA assigns preliminary ratings to six classes of mortgage pass-through notes from Imperial Fund Mortgage Trust 2022-NQM2 (IMPRL 2022-NQM2), a $408.9 million non-prime RMBS transaction.

The representation of five-year hybrid ARM mortgages is at the lowest level since the Imperial 2020-NMQ1 deal hit the market, with a near-even split of 51.9% of fixed-rate mortgages to 45.1% of the collateral pool, according to DBRS Morningstar, which expects to rate the notes. Since then the 2021-NMQ1 had a 25.2% concentration of five-year hybrid ARMs, then 4.0% in the Imperial 2021-NMQ2.

Imperial Fund Mortgage Trust 2021-NQM2 is preparing to issue about $237.4 million in mortgage pass-through certificates, to continue funding mortgages to a range of borrowers, including those funding investment purchases.

The wholesale lender, together with Imperial Fund, closed the securitization last Friday, which was for mortgage loans originated and serviced by A&D Mortgage – the primary servicer of the loans. Non-QM loans account for approximately 72% of the pool, while 28% are ATR-exempt investor property loans.

Imperial Fund, an asset management company, is affiliated with A&D, a non-QM lender.

An investment fund affiliated with A&D Mortgage is preparing to issue an MBS with non-qualified mortgages. The deal will be a first for Imperial Fund. A&D, Hollywood, FL, was founded in 2005. In addition to being affiliated with Imperial Fund, the lender is affiliated with Home Federal Bank of Hollywood.

At Imperial Fund one of the fundamental aspects in this investment sector, which seeks to achieve attractive risk-adjusted returns by exploiting inefficiencies in the residential and commercial real estate lending market, is diversification, which makes it possible to reduce both the beta (risk) of our portfolio, without jeopardizing the return on investment.

Companies like Imperial Fund, which acquire and manage investment portfolios primarily comprised of mortgage loans, real estate debt securities, loans and related instruments, are great partners when managing risk and structured finance, whether the investment strategy is passive or active.