Article: NIMS Market Soaring on Strength of Market Acceptance.

Issuance of securities backed by the net interest margin of mortgage loans has surged in recent quarters, driven by low interest rates and growing market acceptance of the securities.

Rating agency Standard & Poor's says that $1.26 billion of NIMS were issued in the first quarter, exceeding the $1 billion threshold for the third time during the last four quarters. The deals were backed by the excess cash flow from subprime mortgage loans.

Moreover, the number of firms that have issued NIMS has risen to 26. In the fourth quarter of last year, three new firms entered the NIMS market.

According to S&P, 96 NIMS were issued in 2002, up from 41 in ...

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