MDX Indices
VISTA MDX Indices™
VISTA MDX Indices™ are mortgage credit benchmarks based on the performance of single-family 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
ICE Data (formerly Black Knight), a division of Intercontinental Exchange, Inc., is the exclusive index computation agent for the Vista MDX Indices. As the MDX computation agent, ICE Data sources loan level information from the agencies and provides the market with monthly Index Values for each MDX Series. MDX Series 1 through Series 5 cover loan origination periods from mid-2021 through late-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.
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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