Jordan Jay's questions to UWM Holdings Corp (UWMC) leadership • Q3 2024
Question
Jordan Jay from Philly Financial asked what the Q4 margin guidance might have been if interest rates had remained at their lower September levels. He also questioned the impact of the widening mortgage-to-treasury spread on potential margins.
Answer
Chairman and CEO Mathew Ishbia responded that while he couldn't give an exact number, the margin guidance would have been higher, likely 'a level or two' up, as margins rise when the 10-year Treasury yield falls. He acknowledged that the mortgage-to-treasury spread is also a key variable and that a narrowing of this spread could also lead to wider margins.