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Originator

An originatory is a financial institution that makes loans designed to be resold to consumers. There are three types of originators:
1. A bank that provides a loan, especially a mortgage loan, to a client. The originator is then able to sell the loan to another party, typcially creating a derivative product of some kind. (This type is often heard in when discussing mortgage-backed securities)
2. An investment bank that works with a company to plan a new issue, in the earliest stage. The originator typcially becomes the syndicate manager when the issue actually is made.
3. A company that focuses on underwriting loans for commercial and/or multi-family real-estate properties.