MountainView Financial Solutions and Compass Analytics announced today the industry's first integration of third-party MSR marks and pipeline hedge analytics. Through this integration, mutual MountainView and Compass clients will be able to access loan-level MSR prices and durations generated by MountainView MSR models within their Compass pipeline hedge analytics and reporting.

This services integration signals MountainView and Compass's desire to improve the accuracy of MSR pricing and duration. To offer this capability, Compass Analytics has added MountainView's loan-level MSR values and duration to its library of APIs and bid automation. Lenders and servicers, through their internal systems, hedge advisors, or LOS systems can now access batch pricing of loan retained MSR values as part of their hedging and best execution process. Sellers and their advisors can employ the same file flow currently employed by the industry for mini-bulk bidding and beginning this June, will also have the option of integrating to MountainView's API.

Dave Bennett of MountainView explained the industry advancement as follows. "Through our collaboration with Compass Analytics, MountainView can support our clients in the oftentimes price-opaque MSR market. Our customers will have much cleaner valuation discovery so they can retain undervalued MSRs (and vice versa), minimize capitalization vs. new loan value disconnects, and properly manage the fluctuating pre-MSR values immediately from the day the loan is locked. With increasing demand on pricing granularity, this partnership with Compass solves a critical business need."

Mike Vough, Senior Hedge Manager and MSR Specialist at Compass Analytics added "The technology collaboration with MountainView's MSR market pricing capabilities will help originators price MSRs far more accurately in rate sheets, pricing engines and best execution retain/release decisions while improving the MSR hedge adjustments through loan sale."