Link: https://links.sgx.com/1.0.0/corporate-announcements/OCU15MUL466AD430/00ba8ffde2a859175f7820ba52d9bfa5ec005f572d1ccc5c188b4f38bc538031

Summary:
The Connecticut Avenue Securities (CAS) Series 2016-C01 through C05 annual distribution statements for November 2025, managed by Federal National Mortgage Association, showcase continued principal reductions, high levels of credit enhancement, and overall healthy loan pool performance:

• Principal Distribution: Across all five series, scheduled and unscheduled principal reductions remain robust, with cumulative reductions reflecting healthy paydown rates. CAS 2016-C05 reported over $43 million in principal reduction for the current period, while Series C01 through C04 each reported between $40–51 million in principal reductions.

• Interest & Losses: Interest distributions were paid as scheduled, with minimal shortfalls and losses. Current realized losses/write-downs and modifications remained low relative to the loan pool sizes. Cumulative realized losses for the largest series (C04) stood at ~22% of liquidated UPB, a modest number in the context of legacy CAS deals.

• Credit Enhancement: Each deal passed both the Minimum Credit Enhancement and Delinquency Tests, with senior notes retaining over 90% of deal coverage. Structural reporting confirms overcollateralization levels remain at zero (i.e., sufficient cushion against losses).

• Loan Performance & Delinquency: Delinquency rates, as measured by loans 30+ days overdue, are well-contained (approx. 2–3% across each series), with no significant increases year-over-year. Loan modifications are being managed efficiently, with modification losses generally below 0.12% of current UPB.

• Special Notes: Each series reported relatively small realized losses on liquidated loans and only a handful of significant loan write-downs or principal modifications. All series continued to show healthy payout trends, robust senior/subordinate credit structures, and compliance with all deal tests.

Outlook:
Federal National Mortgage Association's CAS platform remains a high-quality issuance vehicle, with substantial ongoing principal repayments, low realized losses, and sound credit metrics. Investors are seeing continued stability in interest and principal distributions, reflecting strong underlying asset performance and prudent servicing.