TAMPA, Fla., April 4, 2023 /PRNewswire/ The DoubleLine Mortgage ETF and the DoubleLine Commercial Real Estate ETF , exchange-traded funds invested in fixed income securities actively managed by. | April 4, 2023
Mortgage bonds are close to the cheapest they've been since the financial crisis by some measures, and money managers like Pacific Investment Management Co. are betting that prices have fallen far enough to make the securities a great buy now.
Mortgage Securities Deserve a Bigger Place in Pension Portfolios, DoubleLine Says
They have lower volatility and often better returns than corporates, a study by the Gundlach firm concludes.
Collateralized mortgage obligations (CMOs), which are collections of home-loan bonds, have long been a stalwart of insurers. But for other institutional investors, ownership is scant. DoubleLine Capital, the rising fixed-income power, would like to change that.
And it has some interesting research showing that CMOs dedicated to agency-guaranteed bonds, known as mortgage-backed securities (MBS), can book superior performance over time. MBS, of course, are pools of individual mortgages. Those that agencies support Fannie Mae, Freddie Mac, and Ginnie Mae, chiefly carry the pledge that Uncle Sam will cover any defaults.