The first hiring date just got pushed back. And, oh yeah, there’s the pesky task of due diligence for the private contractors, not the government’s strong suit. Solution—have the contractors do their own due diligence!
Info on the openings, via the AP:
- Management of mortgage securities once the government has purchased them.
- Management of loans.
- A “custodian” for the program to run auctions, handle accounting and attend to other duties.
The job of custodian was to be awarded last Friday, according to the request for proposal, but it appears it will not happen until this coming week.
The custodian will manage the “reverse auctions” of securities, where the government will act as a single buyer and choose among multiple sellers.
Just a few requirements to get the gig:
- Managers of the securities portfolio must have at least $100 billion in assets under management
- The company that handles loans must already be managing at least $25 billion in mortgage loans or show that they can scale up to manage a portfolio of that size.
- A custodian must already have at least $500 billion in assets “under custody.”
And our favourite:
- Disclose “any actual or potential conflicts of interest” and submit a plan to show how you will “avoid, mitigate or neutralize” such conflicts.
Yeah, good luck with that!
According to Crain’s Chicago, the applicants include Northern Trust Corp. partnered with the parent of the New York Stock Exchange, NYSE Euronext; Bank of New York Mellon Corp.; and State Street Corp.
We’re curious to see everyone’s (self-disclosed) conflicts.
NOW WATCH: Briefing videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.