AMI calls on sovereign funds to save mortgage market

As part of a white paper proposing solutions for the credit crunch and its effects on the mortgage industry, AMI has also suggested speedy implementation of the proposed ‘gold standard’ ratings of mortgage backed securities to help alleviate the crisis. The white paper says the industry should come together and approach a selection of carefully vetted sovereign wealth funds, investment funds owned by foreign governments, to ask for investment in the UK mortgage market. However, the plans are likely to be controversial as some of the largest sovereign wealth funds are owned by undemocratic...