Graph and download economic data for Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks (TMBACBW027NBOG) from 2009-07-01 to 2025-11-19 about mortgage-backed, agency, Treasury, securities, banks, depository institutions, and USA.

The year 2021 saw the peak in issuance of residential mortgage backed securities (MBS), at *** trillion U.S. dollars. Since then, MBS issuance has slowed, reaching *** trillion U.S. dollars in 2023. What are mortgage backed securities? A mortgage backed security is a financial instrument in which mortgages are bundled together and sold to investors. The idea is that the risk of these individual mortgages is pooled when they are packaged together. This is a sound investment policy, unless the foreclosure rate increases significantly in a short amount of time. Mortgage risk Since mortgages are loans backed by an asset, the house, the risk is often considered relatively low. However, the loan maturities are very long, sometimes decades, meaning lenders must factor in the risk of a shift in the economic climate. As such, interest rates on longer mortgages tend to be higher than on shorter loans. The ten-year treasury yield influences these rates, since it is a long-term rate that most investors accept as risk-free. Additionally, a decline in the value of homeowner equity could lead to a situation where the debtor is “underwater” and owes more than the home is worth.

Graph and download economic data for Treasury and Agency Securities: Mortgage-Backed Securities (MBS), Domestically Chartered Commercial Banks (H8B1301NDMCQG) from Q4 2009 to Q3 2025 about charter, mortgage-backed, agency, Treasury, domestic, securities, banks, depository institutions, and USA.

The volume of mortgage-backed securities issuance fluctuated significantly in the United States between 2014 and 2024. In 2024, the volume of the mortgage-backed securities issuance in the United States amounted to 1.6 trillion U.S. dollars.

United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks was 2709.00150 Bil. of U.S. $ in November of 2025, according to the United States Federal Reserve. Historically, United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks reached a record high of 2995.76070 in February of 2022 and a record low of 958.72110 in October of 2009. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks - last updated from the United States Federal Reserve on December of 2025.

The weekly average value of mortgage-backed securities held by Federal Reserve Banks in the United States decreased in the second half of 2022 and the first half of 2023, after a period of sharp increase in 2020 and 2021. As of ************, the weekly average value of mortgage-backed securities held by the Federal Reserve amounted to roughly **** trillion U.S. dollars.

Mortgage-Backed Securities Market Outlook

According to our latest research, the global mortgage-backed securities (MBS) market size reached USD 11.2 trillion in 2024, driven by robust demand for securitized debt instruments and a thriving real estate sector. The market is projected to expand at a CAGR of 6.1% from 2025 to 2033, with the total market value forecasted to reach USD 19.1 trillion by 2033. This growth trajectory is underpinned by increasing investor appetite for fixed-income assets, ongoing financial innovation, and supportive regulatory frameworks that continue to shape the evolution of the global MBS landscape.

The primary growth factor for the mortgage-backed securities market is the persistent demand for yield in a low-interest-rate environment. Institutional investors, such as pension funds, insurance companies, and mutual funds, are continuously seeking stable, long-term returns to meet their portfolio objectives. MBS offer attractive risk-adjusted yields compared to other fixed-income alternatives, making them a preferred choice for these investors. In addition, the diversification benefits provided by pooling mortgage loans into securities help mitigate individual credit risk, further enhancing their appeal. The market has also witnessed a resurgence in investor confidence, thanks to improved underwriting standards and enhanced transparency following the 2008 financial crisis, which has contributed to sustained growth in the issuance and trading of mortgage-backed securities.

Another significant driver for the MBS market is the increasing sophistication of financial markets and the proliferation of securitization techniques. Financial institutions and government agencies have developed advanced structuring mechanisms, such as tranching and credit enhancement, which allow for the tailoring of MBS products to meet specific investor requirements. This has led to the creation of a wide array of MBS types, including residential MBS (RMBS), commercial MBS (CMBS), and collateralized mortgage obligations (CMOs), catering to diverse risk-return profiles. The integration of technology and data analytics in the origination and servicing of mortgage loans has also streamlined the securitization process, reducing operational costs and improving the accuracy of risk assessment. As a result, issuers can efficiently package and distribute mortgage assets, further fueling market expansion.

Regulatory support and favorable government policies have played a pivotal role in bolstering the MBS market. In major economies such as the United States, government-sponsored enterprises (GSEs) like Fannie Mae, Freddie Mac, and Ginnie Mae have been instrumental in providing liquidity and stability to the housing finance system. These agencies guarantee or directly issue a significant portion of MBS, thereby enhancing investor confidence and lowering funding costs for mortgage originators. Recent regulatory reforms aimed at increasing transparency, standardizing disclosure practices, and strengthening risk retention requirements have further contributed to the resilience and attractiveness of the MBS market. As policymakers continue to prioritize housing affordability and financial market stability, the regulatory landscape is expected to remain supportive of MBS growth in the coming years.

Collateralized Mortgage Obligations (CMOs) have become a significant component of the mortgage-backed securities market, offering unique benefits to both issuers and investors. These structured financial products allow for the creation of multiple tranches with varying risk and return profiles, providing investors with tailored options to meet their specific investment objectives. The flexibility of CMOs in managing interest rate and prepayment risks makes them particularly attractive to institutional investors seeking to optimize their portfolios. As the market continues to evolve, the role of CMOs in providing customized investment solutions is expected to grow, driven by advancements in technology and data analytics that enhance the structuring and risk management processes.

From a regional perspective, North America remains the dominant market for mortgage-backed securities, accounting for the majority of global issuance and trading activity. The well-established securitization infrastructure, deep investor base, and active part

United States PDS: Transactions: Mortgage-Backed Securities: Non-Agency MBS: Non-Agency Residential MB data was reported at 2.037 USD bn in 30 Apr 2025. This records an increase from the previous number of 1.398 USD bn for 23 Apr 2025. United States PDS: Transactions: Mortgage-Backed Securities: Non-Agency MBS: Non-Agency Residential MB data is updated weekly, averaging 1.246 USD bn from Apr 2013 (Median) to 30 Apr 2025, with 631 observations. The data reached an all-time high of 5.311 USD bn in 20 Feb 2019 and a record low of 78.000 USD mn in 30 Dec 2020. United States PDS: Transactions: Mortgage-Backed Securities: Non-Agency MBS: Non-Agency Residential MB data remains active status in CEIC and is reported by Federal Reserve Bank of New York. The data is categorized under Global Database’s United States – Table US.Z041: Primary Dealer Statistics: Transactions.

Graph and download economic data for Assets: Securities Held Outright: Mortgage-Backed Securities: Wednesday Level (WSHOMCB) from 2002-12-18 to 2025-10-29 about outright, mortgage-backed, securities, assets, and USA.

Agency MBS Market Outlook

According to our latest research, the global Agency MBS market size reached USD 9.8 trillion in 2024, with a robust compound annual growth rate (CAGR) of 5.1% observed over the past year. The market is expected to grow steadily, reaching an estimated USD 15.7 trillion by 2033, driven by factors such as heightened investor demand for stable fixed-income instruments, evolving regulatory frameworks, and ongoing innovation in mortgage-backed securities structuring. As per our latest research, the Agency MBS market is witnessing significant momentum due to its perceived safety, liquidity, and the continued support from government-sponsored enterprises (GSEs).

One of the primary growth factors for the Agency MBS market is the persistent demand for yield in a low-interest-rate environment. Institutional investors, including pension funds, insurance companies, and asset managers, are increasingly allocating capital to Agency MBS due to their attractive risk-adjusted returns and implicit government backing. The market’s resilience during periods of economic uncertainty further enhances its appeal, with investors seeking the safety net provided by Ginnie Mae, Fannie Mae, and Freddie Mac. Additionally, the ongoing expansion of the global middle class and rising homeownership rates, particularly in North America and Asia Pacific, are fueling the origination of underlying mortgages, thereby expanding the pool of eligible assets for securitization.

Technological advancements and digitalization are also playing a pivotal role in the Agency MBS market’s growth trajectory. Enhanced data analytics, automated underwriting processes, and blockchain-based securitization platforms are improving transparency, efficiency, and risk assessment in the mortgage origination and securitization value chain. These innovations are not only reducing operational costs but also enabling more granular risk segmentation and tailored product offerings. Moreover, regulatory reforms aimed at increasing market stability—such as stricter capital requirements and enhanced disclosure standards—are fostering greater investor confidence and participation, particularly among global institutional investors seeking diversification.

Another key driver is the evolving regulatory and macroeconomic landscape. The proactive involvement of central banks, especially the U.S. Federal Reserve, in purchasing Agency MBS as part of quantitative easing programs has provided a significant liquidity buffer and compressed spreads, making these securities even more attractive. Furthermore, the gradual normalization of monetary policy is expected to create new opportunities for active portfolio management and trading strategies within the Agency MBS space. The combination of strong government support, robust investor demand, and continuous product innovation is positioning the Agency MBS market for sustained growth over the forecast period.

Regionally, North America continues to dominate the Agency MBS market, accounting for over 70% of global issuance in 2024, driven by the deep and liquid U.S. secondary mortgage market, strong regulatory oversight, and the presence of major GSEs. Europe and Asia Pacific are emerging as growth frontiers, with increasing adoption of securitization frameworks and rising cross-border investment flows. While Latin America and the Middle East & Africa currently represent smaller shares, ongoing financial sector reforms and efforts to deepen local capital markets are expected to provide new growth avenues in these regions. Overall, the global Agency MBS market is characterized by a dynamic interplay of macroeconomic, regulatory, and technological factors, underpinning its long-term growth outlook.

Product Type Analysis

The Agency MBS market is broadly segmented by product type into Pass-Throughs, Collateralized Mortgage Obligations (CMOs), Stripped MBS, and Others. Pass-Through securities remain the dominant product type, accounting for appr

United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), Foreign-Related Institutions was 30.00000 % Chg. at Annual Rate in July of 2025, according to the United States Federal Reserve. Historically, United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), Foreign-Related Institutions reached a record high of 89.40000 in April of 2015 and a record low of -104.30000 in January of 2023. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), Foreign-Related Institutions - last updated from the United States Federal Reserve on November of 2025.

Mortgage-Backed Securities Market Outlook

According to our latest research, the global Mortgage-Backed Securities (MBS) market size reached USD 12.8 trillion in 2024, with a compound annual growth rate (CAGR) of 5.1% from 2025 to 2033. The market is expected to grow steadily, reaching a forecasted value of USD 20.1 trillion by 2033, driven by increasing demand for diversified investment instruments, ongoing government support for housing finance, and the robust expansion of secondary mortgage markets worldwide. This growth reflects a combination of strong investor appetite for fixed-income assets and continued innovation in securitization structures, as per our most recent research findings.

A major growth factor shaping the Mortgage-Backed Securities market is the persistent global demand for yield-generating assets in a low-interest-rate environment. Institutional investors, such as pension funds and insurance companies, are increasingly allocating capital to MBS products to secure stable, long-term returns. This trend is further amplified by the relative stability of mortgage payments compared to other forms of debt, making MBS an attractive asset class for risk-averse investors. Additionally, the standardization and transparency of MBS structures have improved significantly over the past decade, restoring investor confidence and facilitating greater market participation. The integration of advanced analytics and risk management tools has also played a crucial role in enhancing the assessment of underlying mortgage pools, thereby reducing perceived risk and encouraging further investment.

Technological advancements and regulatory reforms have also been pivotal in accelerating the growth of the Mortgage-Backed Securities market. The adoption of blockchain, artificial intelligence, and big data analytics in the securitization process has led to improved efficiency, transparency, and accuracy in the origination and servicing of mortgage loans. These innovations have enabled market participants to better manage credit risk, streamline due diligence, and enhance the overall liquidity of MBS instruments. Furthermore, post-2008 regulatory measures, such as the implementation of Basel III and Dodd-Frank Act provisions, have strengthened the resilience of the MBS ecosystem by introducing stricter capital requirements and greater transparency. These measures have not only mitigated systemic risks but also attracted a broader spectrum of investors, including those previously wary of mortgage-backed instruments.

Global macroeconomic trends, including urbanization, rising homeownership rates, and expanding real estate markets, are fueling the underlying mortgage origination volumes that support the MBS market. Emerging economies, particularly in Asia Pacific and Latin America, are witnessing rapid growth in residential and commercial property markets, creating new opportunities for the securitization of mortgage assets. In developed markets such as North America and Europe, the ongoing evolution of housing finance systems and increased government intervention through agencies like Fannie Mae, Freddie Mac, and the European Central Bank have provided further impetus to MBS issuance. This sustained growth in mortgage origination and securitization activity is expected to underpin the long-term expansion of the global MBS market.

Regionally, North America continues to dominate the Mortgage-Backed Securities market, accounting for the largest share due to its mature housing finance infrastructure and the presence of prominent government-sponsored enterprises. However, Europe and Asia Pacific are rapidly gaining traction, propelled by regulatory harmonization, financial innovation, and the increasing involvement of private institutions. In Latin America and the Middle East & Africa, the market is at a nascent stage but is projected to grow at a faster pace over the coming years, supported by financial sector reforms and rising demand for alternative investment products. This regional diversification is expected to further enhance the stability and resilience of the global MBS market.

Security Type Analysis

The Mortgage-Backed Securities market is segmented by security type into Residential MBS, Commercial MBS, Collateralized Mortgage Obligations (CMOs), and Others. Among these, Residential Mortgage-Backed Securities (RMBS) represent the largest segment, driven by the sheer volume of residential

Treasury plans to sell up to $10 billion of securities per month, subject to market conditions. This is in addition to principal paydowns (currently ranging between $2 and $4 billion per month). If the sales proceeded at the full $10 billion per month, the portfolio would be unwound in whole over approximately one year, depending on future rates of prepayments. If market conditions change and Treasury slows asset sales, it is possible that the unwind will take a longer period of time. Excel data shows the total principal and interest that the Treasury received from purchase to sell off of the MBS securities.

View monthly updates and historical trends for US Foreign-related Institutions Treasury and Agency Securities: Mortgage-backed Securities (MBS) Annual Gro…

United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), Foreign-Related Institutions was 20.60000 % Chg. at Annual Rate in September of 2025, according to the United States Federal Reserve. Historically, United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), Foreign-Related Institutions reached a record high of 253.10000 in December of 2017 and a record low of -217.60000 in January of 2023. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), Foreign-Related Institutions - last updated from the United States Federal Reserve on November of 2025.

Residential Mortgage-Backed Securities (RMBS) Market Outlook

According to our latest research, the global Residential Mortgage-Backed Securities (RMBS) market size reached $2.39 trillion in 2024, demonstrating robust activity driven by strong investor appetite for structured products and ongoing demand for residential mortgage financing. The market is projected to expand at a CAGR of 4.7% from 2025 to 2033, with the total market value anticipated to reach $3.64 trillion by 2033. Growth in the RMBS market is being fueled by favorable interest rate environments, evolving regulatory frameworks, and increasing participation from both institutional and retail investors. As per our latest research, the market’s resilience and adaptability to changing macroeconomic conditions are expected to sustain its upward trajectory throughout the forecast period.

One of the primary growth drivers for the Residential Mortgage-Backed Securities (RMBS) market is the ongoing demand for housing finance across both developed and emerging economies. The continued expansion of the residential mortgage sector, supported by historically low interest rates and government-backed initiatives to improve homeownership, has provided a consistent supply of mortgage loans to be securitized. Additionally, the increasing sophistication of financial markets and the development of innovative RMBS structures have made these securities more attractive to a broader range of investors. The ability of RMBS to provide diversification, predictable cash flows, and relatively stable yields has further cemented their role in institutional portfolios, driving sustained issuance and trading volumes globally.

Technological advancements and digital transformation within the mortgage origination and servicing sectors are also contributing significantly to RMBS market growth. The adoption of advanced analytics, artificial intelligence, and blockchain technology has streamlined mortgage underwriting, enhanced risk assessment, and improved transparency throughout the securitization process. These innovations have not only reduced operational costs for issuers but have also increased investor confidence by providing real-time insights into underlying collateral performance. Furthermore, the integration of environmental, social, and governance (ESG) criteria into RMBS structures is attracting a new wave of socially responsible investors, further expanding the market’s investor base and supporting sustainable housing finance initiatives.

Evolving regulatory frameworks and supportive government policies are playing a pivotal role in shaping the RMBS market landscape. Regulatory bodies in key markets such as the United States, Europe, and Asia Pacific have implemented measures to enhance the transparency, standardization, and resilience of securitization structures. These reforms, including stricter disclosure requirements and improved credit risk retention rules, have strengthened investor protections and bolstered market stability. At the same time, government-sponsored enterprises (GSEs) and central banks have continued to support RMBS issuance through various liquidity and guarantee programs, ensuring a steady flow of capital into the housing finance ecosystem. This regulatory environment, coupled with macroeconomic stability, is expected to underpin the long-term growth of the RMBS market.

From a regional perspective, North America remains the dominant market for Residential Mortgage-Backed Securities, accounting for the largest share of global issuance and trading activity. The United States, in particular, benefits from a highly developed mortgage market, deep investor pools, and a well-established regulatory framework. Europe and Asia Pacific are also witnessing significant growth, driven by rising homeownership rates, expanding mortgage markets, and increasing investor participation. In contrast, Latin America and the Middle East & Africa are emerging as nascent markets, with potential for future growth as financial infrastructure and regulatory frameworks continue to evolve. Regional dynamics, including economic conditions, housing market trends, and regulatory developments, will continue to shape the global RMBS landscape over the forecast period.

Type Analysis

The Residential Mortgage-Backed Securities (RMBS) market is segmented into Agency RMBS and Non-Agency RMBS, each exhibiting distinct characteristics, risk profiles, and investor appeal. Agency RMBS are securiti

United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks was 1.70000 % Chg. at Annual Rate in July of 2025, according to the United States Federal Reserve. Historically, United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks reached a record high of 27.30000 in October of 2020 and a record low of -10.30000 in October of 2022. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks - last updated from the United States Federal Reserve on November of 2025.

United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks was 3.70000 % Chg. at Annual Rate in October of 2025, according to the United States Federal Reserve. Historically, United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks reached a record high of 40.80000 in July of 2010 and a record low of -17.50000 in October of 2023. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Treasury and Agency Securities: Mortgage-Backed Securities (MBS), All Commercial Banks - last updated from the United States Federal Reserve on December of 2025.

View weekly updates and historical trends for US Foreign-related Institutions Treasury and Agency Securities: Mortgage-backed Securities (MBS). from Unite…

View weekly updates and historical trends for US Commercial Banks Treasury and Agency Securities: Mortgage-backed Securities (MBS). from United States. So…