SEC Wants More Detail on Loans Backing Securities

WASHINGTON—U.S. regulators will take long-awaited steps to give investors more information about the quality of mortgages and other loans underpinning certain securities. The Securities and Exchange Commission is expected to complete rules Wednesday that would require banks and other firms to provide investors with more details about loans pooled into bonds known as asset-backed securities. The data will include borrowers’ credit scores and metrics to gauge levels of debt—information the SEC expects will aid investors in determining the health of certain loans and reduce reliance on credit ratings, according to people familiar with the matter. More in the Wall Street Journal here.