MERSCORP to manage MISMO operations.
The Mortgage Bankers Association (MBA) and Reston, Virginia-based MERSCORP[R] announced on Feb. 4 that the two organizations have entered into a management agreement under which MERSCORP will be responsible for managing the day-to-day operations of the Mortgage Industry Standards Maintenance Organization Inc.[R] (MISMO).
Under the management agreement, MBA retains full control of MISMO and will maintain a permanent seat on the MISMO board of directors, according to John A. Courson, MBA's president and chief executive officer.
"MBA is pleased to enter into this agreement with MERS signaling the next generation of MISMO," said Courson. "It has always been the intent for MBA to develop and nurture MISMO and then align with another entity to conduct day-to-day management of the company in a way that best serves the real estate finance industry."
As an industry utility owned in part by MBA, MERS provides an ideal infrastructure for MISMO and will ensure the user experience of current MISMO participants remains constant at its current high level, explained Courson.
"We are confident this agreement will result in the continued enhancement of data standards and transparency, which are critical to the return of investor confidence and liquidity in our marketplace," said Courson.
"As the mortgage industry's utility, MERS has always been a strong supporter of MISMO in the advancement of industry standards," said R.K. Arnold, president and chief executive officer of MERS. "We are pleased with the confidence that the MBA has shown in us by entrusting management of MISMO's day-to-day operations to us on behalf of the real estate finance industry."
The management agreement is effective immediately.