Morgan Stanley Investment Management's new Global Mortgage Securities Fund will invest in mortgages and securitized debt instruments issued by government agencies and private institutions, the bank said this week.
The new fund will seek to identify potential value opportunities in all areas of the securitized market, and portfolio construction takes place over three key stages – value identification, implementation and evaluation.
“The global mortgage market is a broad and dynamic landscape,” said Sheila Huang, head of the MSIM mortgage team. “Over time, investor preferences and convictions can change due to such factors as regulatory constraints, asset values and the availability of credit.
"These changes result in dislocations in relative value and solid opportunities for mortgage-related investments. In order to spot these opportunities as they just begin to take shape, the fund's experienced and informed team takes a long-term perspective and leverages its disciplined investment process and commitment to research.”