SEC filings and transcripts for GSAMP Trust S3, including financials, news, proxies, indentures, prospectuses, and credit agreements. Commission File Number of issuing entity: GSAMP Trust S3. (Exact name of issuing entity as specified in its Charter). Fraud Audit. Was the risk that Goldman hedged with AIG as bad as Goldman Sachs Alternative Mortgage Products’ GSAMP Trust S3?.

Author: Tagor Dajin
Country: Swaziland
Language: English (Spanish)
Genre: Medical
Published (Last): 14 November 2012
Pages: 234
PDF File Size: 16.91 Mb
ePub File Size: 9.18 Mb
ISBN: 806-2-78278-757-5
Downloads: 55771
Price: Free* [*Free Regsitration Required]
Uploader: Arajinn

Aggregate Advances with respect to this Distribution.

Tyson can slice a chicken into breasts, legs, thighs, giblets – and Lord knows what else – and get more for the pieces than it gets for a whole chicken. Top Stories 7 things to know gssamp the bell. It said in a recent SEC filing, “Although we recognized significant losses on our non-prime mortgage loans and securities, those losses were more than offset by gains on short mortgage positions.

Goldman Sachs’ House of Junk

That’s because the models were based on recent performances of junk-mortgage borrowers, who hadn’t defaulted much until last year thanks to the housing bubble. Two small lessons from the market turmoil. Default rates are calculated since deal issue date and include realized gains and additional realized losses and gains from prior periods.

Customers are happy, because they get tdust the pieces they want. By Allan Sloan April 12, Weighted Average Months to Maturity Current. Someone wants a risky piece with a potentially very rich yield, an indefinite maturity, and no credit rating at all? Interested in legs, thighs, giblets, the heart?

  BGI 7009 PDF

In addition, truet aforementioned X piece didn’t get fixed monthly payments and thus provided another bit of protection for the 12 tranches ranked above it. So no buyer – and this is aimed at sophisticated investors – can say he wasn’t warned. Investors who paid face value for these securities – they were looking for slightly more interest than they’d get on equivalent bonds – have suffered heavy losses. Average Loss Severity Approximation over period between nth trsut and mth month: Current Scheduled Payments 4 Month Prior.

More than a third of the loans were in California, then a hot market. No, that’s not a misprint – the average loan-to-value of the issue’s borrowers was Low credit gsa,p and high loan-to-value ratios were taken into account in Moody’s original analysis, of course, but the firm now thinks there were things it didn’t know about.

For more on Wall Street and the financial crisis: As long as housing prices kept rising, it all looked copacetic. Total Number of Loans Prepaid in Full. Interest rates on mortgages stopped falling. That spread was supposed 2006-3 provide a cushion to offset defaults by borrowers. Someone wants a safe, relatively low-interest, short-term security? Weighted Average Months to Maturity Original. Mortgages have maturities that are unpredictable, and they require all that messy maintenance trush collecting the monthly payments, making sure real estate taxes are paid, chasing slow-pay and no-pay borrowers, and sending out annual statements of interest and taxes paid.

Junk mortgages under the microscope

Less than 18 months after the issue was floated, a sixth of the borrowers had already defaulted on their loans. Someone wants a risky piece 2006–s3 a potentially very rich yield, an indefinite maturity, and no credit rating at all?


Finally, Goldman sold two non-investment-grade tranches. Prepayment rates are calculated since deal issue date and include partial and full voluntary prepayments and repurchases. Pmnts, 9 Month Prior.

GSAMP Trust S3 Credit Rating – Moody’s

Then, if X were wiped out, the losses would work their way up the food chain tranche by tranche: As long as housing prices kept rising, it all looked copacetic. Or, as he calls them, “non-prime. So if a borrower decided to keep on paying the first mortgage but not the second, the holder of the second would get bagged. Weill doesn’t lay blame on any particular party, although in a Sept. Loss Severity Approximation for Current Period. These loans, which are fixed-rate, carried an average interest rate of Pmnts, 5 Month Prior.

Weighted Average Seasoning Current. Goldman said it made money in the third gzamp by shorting an index of mortgage-backed securities.

Gsamp Trust He4, Author at Last10K

That, of course, is what nearly everyone does. As a result, the X tranche, both B tranches, and the four bottom M tranches have been wiped out, and M-3 is being chewed up like a frame house with termites. You can see why borrowers lined up for the loans, even though they carried high interest rates.

Current Scheduled Payments 9 Month Prior.