The PMI Group, Inc., (NYSE:PMI), provides insurance coverage to mortgage lenders, commercial banks, and other financial institutions to protect them against default. The company's policies focus on a particular class of borrowers, those that are only able to pay a nominal down-payment on a house (less than 20%) both in national and international markets. The PMI Group also offers pool insurance (coverage above primary coverage) in the secondary mortgage market on low down-payment loans, mainly to Fannie Mae (FNM) and Freddie Mac (FRE).
The company conducts its U.S. Mortgage Insurance Operations through its subsidiary PMI Mortgage Insurance Company. Its other subsidiary, Fairbanks Capital Holding Corporation (FCHC), provides mortgage loan servicing. The PMI Group completed the divestiture of its title insurance subsidiary, American Pioneer Title Insurance Company (APTIC) in March 2004. It is also a 42% stakeholder in the FGIC corporation, the third-largest monoline bond insurer in the U.S.(Read more at Wikinvest )