Looking for regular income without the drama of equities? Residential mortgage-backed securities (RMBS) could be the answer, says Michael Frearson, CFA, RAM Director and Head of Fixed Income. Michael told Livewire Markets that RMBS can play a valuable role in the alternative bucket for conservative investors by delivering “boringly reliable” income of over 8% pa. “They have highly contracted revenue streams and capital stability from being floating rate investments,” Michael says. “So they're a great source of income for investors.” He says there’s a lot to like about the RMBS market right now, including an attractive yield and a supportive environment as rates are set to ease. The Real Income Fund has delivered a return of 8.35% over the past year by predominantly investing in high-quality RMBS, meeting its target of RBA Cash Rate + 4%, with a strong focus on capital stability and risk management. Check out the full Livewire article here: https://lnkd.in/guZWJccq #RAM #RMBS #RealIncomeFund #AlternativeAsset
