Fitch Ratings said yesterday that senior director Mary Kelsch has been tapped to head the agency’s newly-restructure Operational Risk Group. The rating agency recently merged its servicer rating and originator review groups as part of an effort to better hold mortgage originators accountable for the performance of loans they fund. “Consolidating the two RMBS Operational Risk teams under a single manager will allow the synergy needed during this cycle in the industry,” said Diane Pendley, managing director. “The quality of origination, uniqueness of products, and issues such as early payment defaults and fraud greatly impact the actions of the servicer.
“In reverse, the servicer’s ability to monitor and report on these issues, as well as to contain or control defaults and losses they may cause, should be brought back into the review of the originators platforms.” Kelsch has been with Fitch for the last 10 years and was instrumental in the development of Fitch’s RMBS servicer rating program. Keltch has primarily focused on further refining the U.S. RMBS research and review into originator and issuer practices for the last five years, Fitch said. For more information, visit http://www.fitchratings.com.
