The Collateral Risk Network was founded in 2003 by Joan Trice, as a part of her for profit enterprise, Allterra Group, LLC. The Collateral Network, Inc. was established as a non-profit, 501(c)(3) as of January 2020.
There is a growing need to develop the science of, and the education for, collateral risk. Collateral valuation is a key component of the collateral risk equation. To move the collateral valuation profession forward, it is essential to advance technologically, and also establish standards to ensure that appraisal reports are credible, reliable and useful in collateral risk analysis.
In order to reduce risk to taxpayers and increase the role of private capital, access to loan level appraisal data is a critical. The democratization of the data to all stakeholders promotes a level playing field and allows the housing finance system to flourish in a safe and sound manner. A holistic focus, bringing all stakeholders into our organization through various boards, committees and councils, is necessary in order to build a dynamic and sustainable model.
The CRN will focus on the following activities:
- Supporting the establishment of an independent utility to function as a repository for all appraisals, higher standards of conduct for all participants in RMBS transactions, and a validation of all credentials for participants in the repository.
- Development of an education program for Collateral Risk professionals.
- Best Practices to ensure compliance and guidance
- Adopting or developing standards to facilitate collateral risk analysis