Data management, reporting, and analytics platform provider dv01 announced today the acquisition of Pragmic Technologies, an early-stage company that is reimagining the data infrastructure of the agency MBS market. According to dv01, the transaction will enable the company to provide the first true ESG ratings for structured products.

dv01 stated that the through the acquisition, the company will develop a novel data infrastructure that resolves the traditionally slow and opaque reporting processes within the agency MBS sector. dv01 will be the first company to provide MBS sector investors with granular, intra-month performance insights, compared to current standards of reporting on a monthly data update cycle.

dv01 Founder and CEO Perry Rahbar said:

“Unlocking real-time performance data in agency MBS will be a massive paradigm shift for a market that trades $65 trillion a year. With this acquisition, we are at the forefront of building a proprietary data infrastructure that will significantly enhance our offerings across all structured products, in addition to agency MBS.”

The fintech company noted that the market for structured products – the largest credit markets in the world – has lagged the broader market in terms of the development of ESG standards. Following the combination with Pragmic Technologies, dv01 will be in a unique position to combine its understanding of loan-level data within securitizations, with external data sources and proprietary analytics to work with partners to provide ESG ratings for structured products.

Charlie Oshman, CEO and Co-Founder of Pragmic Technologies, said:

“dv01’s market-leading client base, expertise, and infrastructure makes them the ideal partner to revolutionize the agency market. With our combined resources, we will provide unmatched market transparency and quickly develop a dominant agency MBS business line to complement dv01’s non-QM, consumer unsecured and student loan coverage.”

dv01 also announced that it has successfully closed a $6 million series B3 financing round led by Pivot Investment Partners and new strategic investor, AGNC Ventures, LLC, an affiliate of AGNC Investment Corp.

Donald Holley, Managing Director of AGNC Ventures, said:

“We are extremely excited about the opportunities this technology can unlock for the agency MBS market, as dv01 continues to lead the industry forward. We look forward to fostering dv01’s innovative mindset to deliver new levels of data granularity and transparency that empower strategic investment decision-making and drive improved returns.”