Pennymac Financial Services, Inc. · NYSE:PFSI
Pennymac Financial Services — J.P. Morgan FinTech and Specialty Finance Forum December 2015
10 slides from Pennymac Financial Services's conference presentation, Dec 2, 2015
Slide 1: J.P. Morgan FinTech and Specialty Finance Forum December 2015
J.P. Morgan FinTech and Specialty Finance Forum December 2015
Slide 2: Forward-Looking Statements
Forward - Looking Statements 2 This presentation contains forward - looking statements within the meaning of Section 21 E of the Securities Exchange Act of 1934 , as amended, regarding management’s beliefs, estimates, projections and assumptions with respect to, among other things, the Company’s fin
Slide 3: PennyMac Financial Is a Leading Mortgage Specialist
3 PennyMac Financial Is a Leading Mortgage Specialist • #6 largest originator overall in 2015 YTD ($37 billion in UPB) (3) – Correspondent aggregation - 3rd largest in the U.S. ( after Wells Fargo and Chase ) (4) – Consumer direct lending for home purchase or refinance • New commercial mortgage busi
Slide 4: The U.S. Residential Mortgage Market Today
The U.S. Residential Mortgage Market Today 4 2015 est. origination volume: $1.6 trillion (1) Mortgage debt outstanding : $10 trillion • Most non - bank lenders are regional specialists with net worth <$10 million • Many sell the loans they originate to aggregators on a servicing - released basis • P
Slide 5: Keys to Success for a Non-Bank Mortgage Enterprise
Keys to Success for a Non - Bank Mortgage Enterprise 5 • Growth oriented operating company • Personnel, infrastructure and licenses for mortgage banking and investment management • Maintains working capital for ongoing operations and retains MSRs as long - term assets • Service provider for PMT and
Slide 6: The Future of Consumer Direct Lending
• Direct model has taken over other consumer financial services markets, e.g., banking, brokerage, credit cards, insurance • Acceptance for mortgages has begun, e.g., refinance market • Call centers result in an efficient concentration of personnel and expertise • Centralized environment creates a c
Slide 7: Technology Is a Key Element of PFSI's Leading Operational Platform
Technology Is a Key Element of PFSI’s Leading Operational Platform 7 Leading Technology Currently in Place and U nder Development Correspondent Production • Unique systems allow for highly automated and scalable loan fulfillment • Proprietary technologies include use of optical character recognition
Slide 8: PennyMac Has Leadership in Specialized Areas of the Mortgage Market
PennyMac Has Leadership in Specialized Areas of the Mortgage Market 8 New MBS Issuance by Agency (1) • Government lending includes loans insured or guaranteed by the FHA, VA or USDA and typically pooled in Ginnie Mae MBS • Government lending as a share of the mortgage market has increased significan
Slide 9: PFSI Continues to Deliver Strong Earnings and Book Value Growth
$9.47 $11.67 9/30/14 9/30/15 $1.32 $1.58 9M14 9M15 $0.82 $1.73 $2.12 2012 2013 2014 2015 YTD Annualized +23% +20% PFSI Continues to Deliver Strong Earnings and Book Value Growth Book Value per Share 9 Diluted Earnings per Share (1) Represents partial year. PFSI completed its IPO on May 5 th , 2013 (
Slide 10: J.P. Morgan FinTech and Specialty Finance Forum December 2015
J.P. Morgan FinTech and Specialty Finance Forum December 2015
PennyMac Financial Services — J.P. Morgan FinTech and Specialty Finance Forum December 2015 on 6ix