MORTGAGE PLATFORM FOR INVESTMENTS & REINSURANCE
Milliman M-PIRe
A comprehensive platform to evaluate mortgage investment opportunities, trends in the market, and portfolio aggregation
A better, faster way to see risk and profitability in the CRT market.
Milliman M-PIRe™ is a flexible web-based tool that provides clients with an automated and controlled process to efficiently evaluate and manage their exposure to the mortgage market. For credit risk transfer opportunities, the platform includes all of the data, models, and reporting tools required for both bonds and insurance exposures. The platform offers clients maximum flexibility and customization to meet their specific needs.
Already have a Milliman M-PIRe login? Click here to access the platform.
CRT 101: Everything you need to know about Freddie Mac and Fannie Mae Credit Risk Transfer
Evaluating a CRT transaction requires the ability to process large loan pools, the structure of the transaction, and outcomes over a range of possible outcomes
A holistic mortgage valuation & securitization platform
For one credit risk transfer transaction, or for a portfolio of exposures, Milliman M-PIRe allows users to efficiently evaluate the risk and return profile of the security including detailed collateral reviews, modeling the deal structure, perform deterministic and stochastic scenarios, and monitor risk trends developing within the mortgage market. Data, economics, and model estimates are automatically updated monthly so you can easily assess exposures and mortgage opportunities.
Review collateral
Understand seasoning, geographic distribution, and concentration of risk factors
Model collateral & review results
- Use proprietary loan-level econometric model to generate performance estimates
- Evaluate drivers of risk through deterministic baseline and stress scenarios
Run simulation model & extract structure cash flows
- Use M-PIRe’s simulation model to create a stochastic perspective around baseline estimates
- Review performance of each tranche/insurance contract within the deal structure
Aggregate portfolio participation
Reflect transaction participation amounts and correlation to generate portfolio view
M-PIRe valuation & securitization software features:
Data visualization
User friendly dashboards display analyzed and accurate data that promote an understanding of risk and sound decision-making. These visual tools are designed to get underneath the data and remove the models out of the “black box.” Robust model governance processes eliminate human and processing errors.
Mortgage expertise
Milliman M-PIRe provides robust technology and data science applied to the mortgage market and is supported by a team of mortgage experts who have worked in the mortgage credit risk industry through multiple cycles, including the oil patch crisis in the late 1970s and early 1980s, savings and loan crisis, and Great Recession.
Industry-leading customer support
Mortgage models are complex, but M-PIRe makes them simple. We assign you to a dedicated consultant that works directly with you, providing unparalleled assistance with model implementation, analysis, and transparency.
End-to-end mortgage valuation solution
Have the ultimate flexibility at an affordable price. M-PIRe brings together all required data, models, and cash flows in one place, delivering a turnkey solution. Our platform builds on proprietary analytics and industry expertise, making it less costly than developing and maintaining an in-house solution, and you don’t have to subscribe or pay for licenses to multiple providers.
Monthly updates
Our user base continues to grow and provide valuable feedback on platform improvements. We are dedicated to providing customers with cutting-edge technology and add new functionality and features monthly.
Collateral Types Modeled in M-PIRe
Milliman M-PIRe covers multiple collateral types and structures, providing the most comprehensive cash flow library for:
GSE CRT
M-PIRe contains mortgage performance models and cash flow structures for public GSE CRT issuance.
PMI CRT
M-PIRe contains mortgage models specific to PMI including models to forecast PMIERs capital. M-PIRe includes cash flow structures for all of the PMI companies covering both PMI reinsurance and ILN transactions.
Multifamily CRT
M-PIRe contains multifamily mortgage performance models and cash flows structures for Freddie and Fannie multifamily transactions.
Non-US
M-PIRe contains performance vectors and cash flow structures for several non-US mortgage transactions, including Australian PMI and European transactions.
Related insight
CRT Executive Summary
CRT Executive Summary is an efficient and innovative webinar series by Milliman to keep you up to date on current trends in the CRT market. The information provided by the CRT Executive Summary covers all key aspects of the CRT market: collateral trends, CRT issuance trends, changes in deal structures, and current market pricing.
M-PIRe resources
FAQ
What is Milliman M-PIRe?
Milliman M-PIRe is a turnkey suite of mortgage securitization and mortgage valuation software. M-PIRe includes all the analytical tools and data required to manage mortgage opportunities including whole loans, mortgage servicing rights, & credit risk transfer securities (i.e. CRT bonds and reinsurance).
Who is Milliman M-PIRe for?
Milliman M-PIRe is built for mortgage investors, mortgage servicers and reinsurers. For credit risk transfer securities, the mortgage valuation and securitization software include all public cash flow waterfalls for both the capital markets and reinsurance execution. The securitization software includes both historical and forecasts of cash flows under various economic scenarios and simulation percentiles. The securitization software also models securitization structures for private international and domestic mortgage insurance transactions. Milliman M-PIRe also includes cash flow projections for mortgage insurance operations, including premium, loss, and PMIERs capital forecasts.
How does Milliman M-PIRe work?
Milliman M-PIRe is powered by internally developed securitization software and mortgage performance models, offering the ultimate level of customization to meet clients needs. Milliman manages the mortgage performance model, data, and processing underlying the software. Clients access Milliman M-PIRe through a browser-based user interface and can analyze complex transactions and portfolios through interactive point-and-click reports.
What is securitization software?
Securitization software estimates the performance of a pool of collateral or mortgages, passes the cash flows through a securitization structure, and allocates those payments to investors in the securities. Milliman M-PIRe is a securitization software for mortgage-backed securities.
What is mortgage valuation?
Mortgage valuation is net present value of cash flows produced from a mortgage asset. The mortgage asset could be a whole loan, mortgage servicing right, mortgage-backed security, credit risk transfer security, or mortgage insurance policy.
What is Credit Risk Transfer (CRT)?
Credit risk transfer (CRT) programs are structured financial instruments offered by Freddie Mac and Fannie Mac that transfer the credit risk of mortgages to private market participants. The instruments are offered to capital market investors and reinsurers.
What tools do you provide?
Milliman M-PIRe includes mortgage performance models, mortgage cash flow models, securitization structures, economic forecasts, and browser-based reporting. Each client is assigned a dedicated consultant to their account to assist with platform support and customization.
This means you don’t have to subscribe or pay for licenses to multiple providers. Milliman M-PIRe is both a robust and cost-effective solution for mortgage opportunities.
We update Milliman M-PIRe monthly with new data, enhanced features, and tools that are continuously introduced to enhance the software.
What kind of reporting do you provide?
Milliman M-PIRe contains built-in reporting using business intelligence tools. The reports are interactive, allowing for maximum flexibility within the platform. Customized reporting is added upon request and can often be incorporated into the software in a short time frame.
Do we receive training to use the system?
Milliman M-PIRe clients receive an initial training of the software by their dedicated consultant. Training can be delivered either in-person or virtually. Ongoing support is provided by the dedicated consultant and additional training is delivered as needed and is included in the license fee for the software.
Milliman M-PIRe also includes video tutorials walking through the software and features.
Where do you get the data from?
We source data from third party providers (e.g. loan performance data is sourced directly from Freddie Mac and Fannie Mae for credit risk transfer securities). For private transactions, data is provided to Milliman through the software or via secure FTP.
Can I download data from M-PIRe?
All reports in Milliman M-PIRe are interactive, and clients can download the data underlying any portion of the software. Large data transfers, such as monthly collateral and security cash flows for all securities across all economic scenarios, are provided through secure FTP and are included in the license fee of the software.
How long would it take to set up Milliman M-PIRe on my organization’s IT system?
Milliman M-PIRe valuation and securitization software brings together all required data, models, and securitization structures in one place, delivering a turnkey solution. New clients can be up and running on the software, evaluating the entirety of the credit risk transfer universe, the same day the license agreement is signed.
Related services
Mortgage government services
We specialise in building customised and cost-effective solutions to measure and manage the risks associated with originating credit risk.
Mortgage
Measure and manage the unique risks of originating mortgages while improving servicing efficiency.
Mortgage compliance
Milliman assists clients with compliance-related analytics for both fair lending and quality control reviews.
Mortgage valuations and reserving
Our mortgage insurance and lender loan loss reserving framework combine our independence and depth of industry expertise.
Mortgage feasibility studies
We combine actuarial and modelling expertise with capital markets structure analysis to deliver meaningful financial feasibility studies.
Related products
Milliman MIND
Milliman Mind is a flexible and easy-to-use web-based platform which automatically converts Excel spreadsheets into more powerful models.
Integrate
Automate and accelerate actuarial modelling and reporting with a powerful, cloud-based solution.
Arius
Analyse unpaid claims liabilities with industry-leading stochastic and deterministic reserving tools and methods.
Contact us
We’re here to help you break through complex challenges and achieve next-level success.