TransUnion Selected by BlackRock Solutions as Data Provider for Borrower Level Analysis

TransUnion announced Monday that its Consumer Risk Indicator solution has been selected by BlackRock Solutions® to provide deeper insight into mortgage portfolios for its clients.  The solution, drawn from TransUnion’s anonymized credit data, is based on industry-leading, loan-level securities data from CoreLogic LoanPerformance.

BlackRock Solutions (“BRS”) offers risk management, advisory and enterprise investment system services to a broad base of institutional investors – which includes in depth analysis, tools and services for analyzing investment grade to distressed assets, including whole loans and residential mortgage-backed securities (RMBS).  It is part of BlackRock Inc. (NYSE:BLK), one of the world’s leading providers of investment management solutions.

“For the Capital Markets industry, the issue is how to discern between two mortgage-backed securities that may look similar (e.g. loan-to-value, geographic concentration and credit risk score averages), but can perform much differently over time,” said Tim Martin, group vice president in TransUnion’s capital markets business unit.  “Our loan-level data starts with the underlying borrowers behind the mortgages and provides a complete, anonymous picture of their full credit profile and performance; updated twice per month.

“TransUnion customers also receive updated bureau scores on those borrowers and information on their other lines of credit such as home equity lines, credit cards and auto loans.  This more complete credit profile adds to the ability to predict defaults long before delinquencies start to show up, allowing companies, like BlackRock, to more accurately value two similar-looking securities.”

With this new product offering, TransUnion provides anonymous, up-to-date and historical credit information for the borrower of each loan that is backed by a particular security.  This promotes greater transparency and allows investors to make more informed decisions. The product has been demonstrated to allow significantly more accurate risk assessment than traditional methods that neglect to look at updated credit information.

“The data provided by TransUnion’s Consumer Risk Indicators allows BlackRock Solutions’ clients to make even more enhanced investment decisions on whole loans and residential mortgage-backed securities,” said Robert Goldstein, Head of  BlackRock Solutions.  “The ability to see detailed borrowers profiles behind seemingly comparable securities allows our clients to make the most informed decisions possible.”

Now available through 1010data’s service, the TransUnion Consumer Risk Indicators for RMBS data can also be provided via direct delivery from TransUnion.

As a global leader in credit and information management, TransUnion creates advantages for millions of people around the world by gathering, analyzing and delivering information. For businesses, TransUnion helps improve efficiency, manage risk, reduce costs and increase revenue by delivering comprehensive data and advanced analytics and decisioning.

BlackRock Solutions provides clients with access to the intellectual capital and tools developed by BlackRock to support its asset management business. Nearly $10 trillion of positions are processed on BRS’ Aladdin® operating platform, which serves as the investment system for BlackRock and over 40 organizations across North America, Europe, Asia and Australia. BRS also offers comprehensive risk reporting via the Green Package® and risk management advisory services, interactive fixed income analytics through its web-based calculator, AnSer®, and investment accounting services.

BlackRock is a leader in investment management, risk management and advisory services for institutional and retail clients worldwide. At March 31, 2011, BlackRock’s AUM was $3.648 trillion. BlackRock offers products that span the risk spectrum to meet clients’ needs, including active, enhanced and index strategies across markets and asset classes. Products are offered in a variety of structures including separate accounts, mutual funds, iShares® (exchange-traded funds), and other pooled investment vehicles. BlackRock also offers risk management, advisory and enterprise investment system services to a broad base of institutional investors through BlackRock Solutions®. Headquartered in New York City, as of March 31, 2011, the firm has approximately 9,300 employees in 26 countries and a major presence in key global markets, including North and South America, Europe, Asia, Australia and the Middle East and Africa.