Day: August 13, 2024

The Impact of Quantitative Easing on the Mortgage-Backed Securities Market

Mortgage-backed securities (MBS) play a crucial role in the modern financial system, offering investors the opportunity to participate in the housing market while providing liquidity to lenders. Government policies, lending practices, and financial incentives have a significant influence on the demand for these securities. By shaping the broader housing market and encouraging lending, government interventions directly impact the supply and attractiveness of mortgage-backed securities for investors.