Head of Securitized Credit
One of the beautiful things about the universe of Securitized debt is the diversification it provides and the ability for investors to pick their spots. If you believe aspects of the markets are in the later stages of a credit cycle, picking your spots can be quite advantageous. We believe Quantitative Easing (QE) has distorted financial markets and many traditional asset classes have become quite expensive. We contrast corporate debt or equity (what we call “Wall Street” finance), with the US consumer and housing finance (what we call “Main Street” finance). We think the latter appears to be in very good shape, making consumer-driven segments of securitized an attractive alternative to traditional income-generating investments.