MDX Indices

VISTA MDX Indices™

VISTA MDX Indices™ are mortgage credit benchmarks based on the performance of single-family conforming home loans. By referencing a large cross-section of US household borrowers, MDX Indices capture essential trends in the credit performance of US housing and consumers. With clear, rules-based definitions for determining credit events and straightforward calculations for assigning values, MDX Indices are designed for broad use as benchmarks for financial products including swaps and derivatives. Vista will publish a new MDX Series every six months, enabling the market to monitor household debt trends across a range of characteristics.

Calculating VISTA MDX Indices™

VISTA MDX Indices are intended to be accurate and reliable representations of mortgage borrowers experiencing credit events in the U.S. residential mortgage market. MDX Index Series are released every six (6) months and are computed monthly from loan performance reports provided to the market by the agencies.

MDX measures the cumulative number of serious delinquencies (120+days delinquent) and modifications in each Index Series. This provides a view of borrowers who are experiencing multiple sequential “failures to pay” and/or changes to the original terms of their loan. Such borrowers are exhibiting credit stress requiring lender remediation. MDX Index Values are computed based solely on the number of loans in the Index without regard to their unpaid principal balances.

Computation of MDX Index Values

Black Knight, a division of Intercontinental Exchange, Inc., is the exclusive index computation agent for the Vista MDX Indices. As the MDX computation agent, Black Knight sources loan level information from the agencies and provides the market with monthly Index Values for each MDX Series. MDX Series 1 through Series 4 cover loan origination periods from mid-2021 through mid-2023. Subsequent MDX Series are released on a six (6) month cycle in March and September each year. All MDX Series are maintained for 10 years from release, at which point they are discontinued.

MDX Reference Loans

Each MDX Series is composed of loans contained within agency mortgage-backed securities (“MBS”) issued by the agencies. These loans represent a nationwide range of borrowers having standard qualifications and offer the widest level of performance reporting and transparency. Every MDX Series contains a unique set of loans from specific six (6) month MBS pool inclusion date range.

Data Contingency

Vista MDX Indices, once released, rely on the ongoing publication of loan performance data by the agencies. In the event that an agency discontinues providing loan performance data, Vista will not release new MDX indices until a suitable new loan source and computation process can be found.

Governance & Oversight

VISTA maintains an internal Benchmark Management Committee (“Committee”) that is accountable for the overall operation of the Vista MDX Benchmarks. This Committee is comprised of staff from product management, research, operations, and development functions within the Company. The Committee meets on a regular basis to discuss benchmark operational performance measures and to review key business issues and risks.

Additionally, VISTA will establish an Oversight Committee responsible for effective scrutiny of the Administrator and its Code of Conduct prior to the use of MDX Benchmarks in financial products.

IOSCO Principles for Financial Benchmarks

VISTA administers its Vista MDX Benchmarks consistent with the International Organization of Securities Commissions Principles for Financial Benchmarks (IOSCO Principles). Details of VISTA’s benchmark administration practices can be found in the documents referenced at the bottom of this section and, where applicable, in documentation provided elsewhere on this Resources page.

For any questions on Vista MDX Indices in relation with the IOSCO Principles, please email Vista’s compliance group at VistaMDX@vistacap.com.

Complaint Submissions

Complaints should be submitted with the appropriate contact information and as much detail as possible about the concern in order to allow the Administrator to assess the complaint properly. Stakeholders may submit complaints to the following email address: complaints@vistacap.com.

When submitting a complaint via email please write in the subject line the nature of your complaint.

Stakeholders may also submit complaints in directly in writing by mail to:

Compliance Department C/O Vista Data Services 16 York Road, Larchmont NY 10538

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    TERMS OF USE APPLICABLE TO INDIVIDUALS AND ENTITIES ACCESSING VISTA MDX DATA

    YOU REPRESENT THAT:

    1.YOU ARE ACCESSING VISTA MDX DATA ON BEHALF OF PERSON(S) (WHICH MAY INCLUDE INDIVIDUALS, ENTITIES AND YOURSELF, ALL OF WHOM ARE JOINTLY AND SEVERALLY REFERRED TO AS THE “USER”) WHO INTEND TO USE THE INFORMATION SOLELY IN THE MANNER AND FOR THE PURPOSES PERMITTED IN THIS AGREEMENT; AND

    2. (II) YOU HAVE THE AUTHORITY TO ENTER INTO THIS AGREEMENT ON BEHALF OF THE USER AND TO BIND THE USER TO THE TERMS OF THIS AGREEMENT.

    YOU ACCEPT THAT:

    1. The User acknowledges that third parties (the “Disclosing Parties”) are making certain data (the “Disclosing Parties’ Data”) available to Vista Index Services (“Vista”) for the purpose of facilitating the computation of indices (the “Index Data”) that may be used for a range of investment purposes. The User acknowledges that it has no ownership or other proprietary interest in the Disclosing Parties’ Data or the Index Data (collectively the “Vista MDX Data”).

    2. The User is permitted to retrieve, copy and use (collectively, “Use”) the Vista MDX Data solely for its internal purposes related to (i) User’s potential investment in or marketing of financial products, and (ii) research and analytics based in whole or in part on Vista MDX Data (collectively, the “Internal Purpose”). As part of the Internal Purpose, the User is permitted to Use the Vista MDX Data to: (i) derive data from Vista MDX Data; (ii) create products that incorporate Vista MDX Data or data derived therefrom (such derived data and products, “Derived Products”); and (iii) disseminate Vista MDX Data and Derived Products within the User’s organization for their Internal Purpose.

    3. The User is prohibited from using Vista MDX Data for any purpose not expressly permitted in this Agreement. Without limiting the preceding sentence, the User is prohibited from: (i) modifying or altering Vista MDX Data in any manner, except to the extent necessary for the Internal Purpose; (ii) using Vista MDX Data or any Derived Product to map data contained in these to any other data distributed by the Disclosing Parties.

    4. Except as expressly permitted under this Agreement, the User is prohibited from licensing, distributing, disclosing or otherwise making available the Asset-Level Information (in whole or in part) or any Derived Products to any third party.

    5. The Disclosing Parties have endeavoured to make the Disclosing Parties’ Data reasonably accurate but does not guarantee the Disclosing Parties’ Data are complete, error free or suitable for any particular purpose, including the Internal Purpose. Use of the Disclosing Parties’ Data is entirely at User’s own risk and Disclosing Parties will have no liability to the User or any third party for or arising out of or related to this Agreement, Disclosing Parties’ Data, Vista MDX Data, or any Derived Products. DISCLOSING PARTIES’ DATA ARE PROVIDED ON AN “AS IS”, AS AVAILABLE BASIS, AND THE DISCLOSING PARTIES EXPRESSLY DISCLAIM ALL WARRANTIES WITH RESPECT THERETO, INCLUDING WARRANTIES OF NON-INFRINGEMENT, MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. NO ORAL OR WRITTEN INFORMATION OR ADVICE PROVIDED BY THE DISCLOSING PARTIES OR ANY OF THEIR OFFICERS, DIRECTORS, EMPLOYEES, AGENTS OR SUBCONTRACTORS WILL CREATE A WARRANTY.

    6. All Vista products are provided for your information purposes only, without regard to your specific investment objectives, financial situation, or particular needs, and shall not be construed as a solicitation, offer or recommendation to buy or sell any securities, investment or other financial instruments, to affect any transactions or to conclude any legal act of any kind whatsoever.

    7. Any non-licensed use of Vista MDX Data for the purpose of issuing financial instruments referencing any Vista MDX Data, entering into financial contracts or financial instruments referencing any Vista MDX Data, determining the amount payable of a financial instrument or a financial contract by referencing any Vista MDX Data or measuring the performance of an investment fund using any Vista MDX Data for the purpose of tracking the returns is expressly prohibited except as provided for under a separate license agreement from Vista.

    8. This Agreement will be governed by the laws of the State of New York, without regard to conflicts of law rules that might cause the substantive laws of another jurisdiction to govern.