How to buy MBS ?

Discussion in 'Trading' started by comintel, Mar 21, 2009.

  1. How can I buy mortgage backed securities such as
    Popular ABS Mortgage Pass-through Trust 2005-A

    or

    GSAA Home Equity Trust 2007-A AF-3 A-3,

    or alternatively,

    a fund that holds AAA or close to AAA sub-prime mortgages securities such as these.

    I cannot find them listed at Interactive Brokers, for example.


    Thanks
     
  2. You are aware of :

    GSAA Home Equity Trust 2007-2
    Series 2007-2
    Rating
    Class CUSIP To From
    AF3 3622EUAC0 BBB+ AAA/Watch Neg
    AF4B 3622EUAV8 BBB AAA/Watch Neg
    AF5B 3622EUAW6 BBB- AAA/Watch Neg
    AF6B 3622EUAG1 BBB- AAA/Watch Neg

    Source : "AAA" rating agency S&P:

    http://www2.standardandpoors.com/spf/pdf/media/subprime_93_rmbs_071508.pdf
     
  3. Good point - I amended my post to say "AAA or close to AAA".

    These particular ones were recommended in a prominent Fixed-Income newsletter.
     
  4. ETF: MBB
    Closed-Ended Funds: BKT, FMY, BCT, ASP, SLA (more at www.cefa.com -> "US Mortgage Funds")
     
  5. Very very helpful - thanks a lot!

    I think I may like the Helios and PCM funds (subject to evaluation) because their price history best correlates with Markit ABX AAA graph (straight down) shown at

    http://blog.atimes.net/?p=788

    suggesting that they are holding this type of security.

    I am also interested in emerging market debt and it looks as if this site will help me there too.
     
  6. For EM debt also check out the Powershares ETF PCY.