UWM Holdings Corporation Q2 FY2026 earnings call

New Product Launch

• ICE Mortgage Technology is launching AVM Model Monitor on a pilot basis initially, with availability for Encompass users and broader customer segments.
• The tool provides transparent, granular performance tracking and reporting for ICE's automated valuation models (AVMs) to support upcoming federal regulatory requirements.

Core Product Suite Overview

• ICE offers a full end-to-end valuation solution suite centered on AVMs, including a data collection tool for on-site homeowner property information, Risk Profiler for appraisal/PPO review, and Valuation Selector, a recommendation engine that matches valuation methods (AVM, appraisal, inspection, etc.) based on data availability, quality, and investor guidelines.
• The ICE AVM Waterfall is a proprietary AVM selection framework built over 2 years, trained on roughly 2 million properties with 18,000 decision trees. It selects the optimal AVM for each specific use case to maximize accuracy and coverage, and is maintained with ongoing monthly tuning and daily automated performance testing.
• All ICE AVMs include customizable confidence score thresholds, allowing clients to set internal reliability standards aligned with their risk tolerance.

Regulatory Compliance Preparation

• A new interagency AVM federal rule from six U.S. regulators goes into effect October 1st. The rule outlines five core quality control standards: confidence in AVM performance, no data manipulation, no conflicts of interest, random sampling, and alignment with non-discrimination laws.
• For the first time, the new rule explicitly requires non-discrimination testing for AVMs across protected classes including race and ethnicity. ICE's AVM Model Monitor includes built-in functionality for this testing, using census tract data to track performance across demographic cohorts.
• ICE is fully aligned with all new rule standards, and provides transparent documentation of its compliance to support clients in meeting their own regulatory obligations.

Model Risk Governance

• ICE's independent internal Model Risk Management (MRM) team acts as a second line of defense, providing independent validation for AVM models following the same rigorous governance framework used for ICE's global clearing, fixed income, and New York Stock Exchange models.
• AVM Model Monitor includes forward-blind monthly performance testing (testing unobserved samples before they enter model databases), granular geographic performance breakdowns (from state down to SIPP level), outlier analysis, and 10 years of historical performance data for most models to demonstrate stability across varying economic conditions.
• Key performance metrics tracked include hit rate (the AVM's ability to generate a valuation) and PPE10 (share of valuations with less than 10% error), the standard industry metrics for AVM quality.

No financial performance data for product segments is provided in this transcript. The webinar focuses exclusively on product updates, regulatory compliance, and new tool functionality, with no revenue or contribution percentage information shared.

No forward-looking financial guidance or numerical performance revisions are provided in this transcript. Management confirms that the new AVM federal rule will go into effect as scheduled on October 1st, and that ICE's products and tools are fully prepared to support client compliance with the new standards.

No explicit discussion of financial risks, operational failures, or material business risks is provided in this transcript. Management notes that ICE is not positioned to provide legal or compliance advice to clients, and clients are responsible for their own implementation of the new regulatory standards, with ICE providing supporting tools and educational resources.

No questions from the audience or internal Q&A exchanges are included in the provided transcript excerpt, so no key exchanges can be summarized.