1970: Ginnie Mae creates the first mortgage-backed security, based on FHA and VA mortgages. 1971: Freddie issues its first Mortgage Participation Certificate security. This is the first mortgage-backed security made of ordinary mortgages. 1970s: Private companies begin mortgage asset securitization with the creation of private mortgage pools in the 1970s. 1977: Community Reinvestment Act is enacted to address historical discrimination in lending, such as ‘redlining’. The Act encourages commercial banks and savings associations to meet the needs of borrowers in all segments of their communities, including low- and moderate-income neighborhoods.