Agency Mortgage-Backed Securities

The New York Fed is authorized by the Federal Open Market Committee (FOMC) to buy and sell agency mortgage-backed securities (MBS) for the System Open Market Account (SOMA) to the extent necessary to carry out the most recent FOMC directive. Dollar roll and coupon swap transactions may also be executed as needed to help facilitate the settlement of outstanding MBS purchases.

Purchases of agency MBS increase the quantity of reserve balances in the banking system; sales or principal paydowns reduce those balances. These transactions, which are conducted by the New York Fed's Open Market Trading Desk (the Desk), are executed with primary dealers.

The Desk reinvests the principal payments from agency debt and agency MBS holdings in the SOMA portfolio by investing in newly-issued MBS securities backed by Fannie Mae, Freddie Mac, or Ginnie Mae as directed by the FOMC. Details of the current SOMA portfolio management strategy are outlined in the most recent operating policy statement. Additional information on agency MBS operations is available in our Frequently Asked Questions.

From early 2009 through October 2014, the Federal Reserve added on net approximately $1.8 trillion of longer-term agency MBS and agency debt securities to the SOMA portfolio through its large-scale asset purchase programs. Agency MBS purchases were concentrated in newly-issued agency MBS in the To-Be-Announced (TBA) market, as these securities have greater liquidity and are closely tied to primary mortgage rates. The aim of these purchases was to put downward pressure on longer-term interest rates, support mortgage markets, and help to make broader financial conditions more accommodative.

Data
Agency MBS Operations
Includes results for today's operations.
Recent Agency MBS Operations
Includes results for last 20 operations.
Historical Search
Includes results for past operations.
Agency MBS Transaction Summary
Summarizes all trades during indicated period, including those associated with dollar rolls.
Agency MBS Historical Operational Results
Includes information on transaction prices in individual operations at the end of each monthly period.
SOMA Holdings
Includes CUSIP-level data and the SOMA Historical Data Export Builder.
Transaction Data
Includes transaction details. Data are published quarterly, about two years after the transaction was conducted, in accordance with the Dodd-Frank Act.
Schedules
Agency MBS Operation Announcements
Includes announcements for today's operations.
Agency MBS Operation Schedule
Includes tentative operations schedules associated with outright purchases of agency MBS.
Agency MBS Planned Purchase Amounts
Includes tentative purchase amounts associated with reinvestment of principal payments from agency debt and agency MBS in agency MBS.
Upcoming Small Value Agency MBS Sales Operations
Includes details for small value operations on Nov. 28 and Nov. 29.
Announcements
Resources
FAQs: Agency MBS Reinvestment Purchases
FAQs: Agency MBS CUSIP Aggregation