Lehman Brothers is recommending the hybrid IO sector as a place of opportunity for relative-value players, in a newly issued report.

Valuations make these IOs attractive substitutes for trust counterparts even with stressed prepay assumptions, analysts said.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.