Which of the following are functions of GNMA?
A)Engaging in swap transactions where it swaps mortgage-backed securities with an FI for original mortgages.
B)Sponsors mortgage-backed securities programs by FIs such as banks, thrifts, and mortgage bankers.
C)Acts as a guarantor to investors in mortgage-backed securities regarding the timely pass-through of principal and interest payments on their sponsored bonds.
D)All of the above.
E)Answers B and C only.

Question

Quizplus · Accepted Answer

GNMA (Ginnie Mae) sponsors mortgage-backed securities programs and acts as a guarantor for timely payments, but it does not engage in swap transactions.

Which of the Following Are Functions of GNMA