Angel Oak Multi-Strategy Income Fund Class C (ANGCX)

Overview

The fund is an investment entity focused on a diverse range of mortgage and asset-backed securities. It aims to provide investors with exposure to various types of securitized debt instruments, including both agency and non-agency residential mortgage-backed securities (RMBS) and commercial mortgage-backed securities (CMBS). The fund's portfolio also encompasses a broad spectrum of structured finance products such as collateralized loan obligations (CLOs), collateralized debt obligations (CDOs), collateralized mortgage obligations (CMOs), and collateralized bond obligations (CBOs), alongside asset-backed securities (ABS). Significantly, the fund's investment strategy does not restrict it to securities of a specific maturity or duration, allowing for a wide range of investment opportunities. Moreover, the fund has the flexibility to invest in high-yield securities and those not rated by rating agencies, indicating a diverse and potentially higher risk/reward approach to investment.

Products and Services

• Residential Mortgage-Backed Securities (RMBS) & Commercial Mortgage-Backed Securities (CMBS)

  Investments in RMBS and CMBS allow the fund to tap into the real estate mortgage market through securities backed by residential and commercial mortgages, respectively. This diversification offers access to different aspects of the property market.

• Collateralized Loan Obligations (CLOs) & Collateralized Debt Obligations (CDOs)

  The fund invests in CLOs and CDOs, structured finance instruments that pool together loans and other assets to issue tranches of securities with varying risk profiles. These investments aim to benefit from the spread between the income generated by the underlying assets and the cost of funding.

• Collateralized Mortgage Obligations (CMOs) & Collateralized Bond Obligations (CBOs)

  CMOs and CBOs represent more specialized forms of securitized debt, with CMOs specifically related to mortgage debt and CBOs to corporate and other bonds. The fund's engagement in these areas reflects a strategy to diversify across different sources of yield and credit risk.

• Asset-Backed Securities (ABS)

  Investment in ABS widens the fund's exposure to debt secured by various types of assets, including credit cards, auto loans, and student loans. This form of investment diversifies the portfolio further beyond traditional mortgage-backed securities.

• High-Yield Securities & Non-Rated Securities

  The fund's ability to invest in high-yield securities and those not rated by any rating agencies presents opportunities for higher returns while accepting a potentially higher level of risk. This approach allows the fund to explore investments that may be overlooked by more conservative strategies.