Servicing-Fee Debate: Pimco Offers Its View.

Reports that Pacific Investment Management Co., the giant bond fund manager, has emerged as a vocal opponent of the idea of lowering the servicing fee minimum set by Fannie Mae and Freddie Mac. Statement from W. Scott Simon, a managing director at Pimco and its head of mortgage- and asset-backed securities, that such a drop would harm the markets for the two government-sponsored enterprises' mortgage bonds; Efforts by Countrywide Financial Corp. and Washington Mutual Inc. to get Fannie and Freddie to let servicers keep less than 25 basis points a year of a loan's balance.