E*Trade Bank has sold more than $945 million of mortgage loans from its portfolio to Bear, Stearns & Company through its Global Asset Management operations (EGAM).
Steven Dervenis, head of E*Trade Global Asset Management, says: "This pivotal transaction launches E*Trade Global Asset Management's first move into institutional sales, an important market which E*Trade continues to penetrate in an ongoing effort to generate recurring revenues that will drive value for our customers and our shareholders."
EGAM negotiated the terms of the sale on behalf of E*Trade Bank and also was a member of the selling group in the distribution of securities to institutional investors. Bear, Stearns & Company securitised and underwrote the private label mortgage backed securities.