AlphaCentric Income Opportunities Fund Class I (IOFIX)

Overview

The fund is a specialized investment entity that aims to meet its investment goals by focusing primarily on asset-backed fixed income securities. This includes a wide variety of financial instruments and receivables, such as those arising from credit cards, automobiles, aircraft, student loans, equipment leases, and mortgages—both residential and commercial, whether they are backed by governmental agencies or not. The fund's strategy involves diversifying its investment portfolio across different types of collateralized debt to manage risk while seeking to provide returns to its investors.

Products and Services

The fund offers an expansive range of investment products and assets, each with its unique characteristics and potential benefits within the asset-backed securities market:

• Securities Backed by Credit Card Receivables: Investments in bonds or other forms of debt secured by payments due from credit card holders. These provide income from the interest and fees on the outstanding balances of credit card accounts.
• Automobile-Backed Securities: These securities are underpinned by auto loans. Investors receive payments from the principal and interest of car loans taken out by borrowers.
• Aircraft-Backed Securities: Investments in loans or leases used to purchase aircraft. This niche market offers returns based on the leasing or loans provided to airlines and other aircraft operators.
• Student Loan-Backed Securities: Securities that are collateralized by student loans. These products offer investors income from the repayment of student loans, including interest payments.
• Equipment Lease-Backed Securities: Investments in the financing of various types of equipment leases. This area includes income derived from leasing out machinery, technology, and other equipment types to businesses.
• Residential and Commercial Mortgage-Backed Securities: Investments in mortgages secured by real estate, whether residential properties (homes) or commercial buildings. These securities are financed by mortgage payments made by property owners.
• Collateralized Debt Obligations (CDOs): Complex structured financial instruments that pool together various types of debt, including loans and bonds, which are then sliced into different tranches offering various risk and return profiles.
• Collateralized Loan Obligations (CLOs): Similar to CDOs but specifically involving loans rather than a mix of loans and other types of debt. These securities pool together commercial loans, offering income through interest payments made by corporate borrowers.
• Privately-Offered Collateralized Loans: Direct loans or loan participations that are secured by collateral. These investments offer an alternative to traditional bond investments, potentially yielding higher returns for greater risk.