MGIC Investment Corp. (MTG)’s Fourth Quarter 2014 Earnings Call Trasncript

Timothy J. Mattke – EVP and CFO
Yeah and then Doug I would also kind of point out the trend in 2014 where our industry would have about 11% share in the first quarter and it grew to 15% and change by the end of the year. So there has been consistent growth as we’ve said over the last couple of years as the world normalized and we reoriented lenders to the benefits of private mortgage insurance so that those others leaders have more expensive guidelines for them to satisfy their needs.

Q: Got it. And then just one more on kind of the commentary around your volume expectations for ‘15 over ’14. I mean just looking obviously 2014 sort of to those points that Mike just made, ‘14 started off quite slow and picked up. So that slightly higher just seems off like conservative given the first quarter over year over year changes that you should have just sort of any thoughts as kind of the progression of volume over the year that you’re kind of expecting?

Curt S. Culver – Chairman and CEO
I agree totally with you.

Q: Okay.

Curt S. Culver – Chairman and CEO
You got to get back, so we going to refinance this and there’s just a lot in play right now, what happens with loan level price adjustments and things of that sort. So the deal is we are going to do more volume this year than we did last year and it’s a matter of how much and we have differences of opinion within this room on that. But the beauty of that is that it’s going to be more business and it’s going to be better business.

Patrick Sinks – President and COO
This is Pat, if I could add to Curt’s perspective what he made the comment about as we sit here today and that is that, we are making the best guess on the impact of FHA and we won’t know that until it actually kicks in next week. We got the G fees and all LLPAs coming in, we think towards the end of the first quarter we got PMIERs come in we think at the end of first quarter we talked a lot in the last couple of days about a potential big refi market and what’s going to happen with rates, on one hand the tenures down quite low. On the other hand in the paper this morning [inaudible] was talking about continuing their plan to increase rates.

So there’s a lot of noise. I think we are going to be a lot of smarter 90 days from now than we are now, but that’s the reason we’re being a little bit conservative as we enter the year.

Q: Makes sense. Thank you very much.

Operator
Again, to ask a question, please press * 1 on your telephone. Our next question comes from Chris Gamaitoni with Autonomous Research. Your line is open.

Q: Good morning guys. Thanks for taking my call.

Curt S. Culver – Chairman and CEO
Good morning.