Chart of the Week: QE3’s Possible Effects on the Mortgage Market and Mortgage Securities | American Century Investments Blog

Chart of the Week: QE3’s Possible Effects on the Mortgage Market and Mortgage Securities | American Century Investments Blog

 After the U.S. central bank, the Federal Reserve (the Fed), announced two weeks ago its third round of economic stimulus-related government securities purchases since the 2008 Financial Crisis, our fixed income investment management team has been asked many questions about possible outcomes. A high percentage of these questions focused on the mortgage market and mortgage-backed securities(MBS), including Ginnie Maes (MBS guaranteed for the payment of interest and principal by the Government National Mortgage Association—GNMA).