TSEC
Touchstone Securitized Income ETF
📎 Investment Objective
The Touchstone Securitized Income ETF (TSEC) seeks to provide current income by investing primarily in securitized debt instruments, such as mortgage-backed securities (MBS) and asset-backed securities (ABS).
Overview
ETF tracking Touchstone Securitized Income ETF
Performance
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Investment Summary
📎 Investment Objective
The Touchstone Securitized Income ETF (TSEC) seeks to provide current income by investing primarily in securitized debt instruments, such as mortgage-backed securities (MBS) and asset-backed securities (ABS).
🎯 Investment Strategy
The fund aims to achieve its objective by investing at least 80% of its net assets in securitized debt instruments, including agency and non-agency MBS, commercial MBS, and ABS. The portfolio manager uses a value-oriented approach, focusing on securities that are undervalued relative to their credit quality and potential for income generation.
✨ Key Features
- Exposure to a diversified portfolio of securitized debt instruments, providing access to the securitized income market
- Emphasis on value-oriented investing, seeking to identify undervalued securities with attractive income potential
- Actively managed approach to security selection and portfolio construction
- Low expense ratio of 0.00%
⚠️ Primary Risks
- Interest rate risk: The value of the fund's investments may decline due to increases in interest rates
- Credit risk: The fund is exposed to the risk of default or deterioration in the credit quality of the underlying securitized debt instruments
- Prepayment and extension risk: Securitized debt instruments may be subject to prepayment or extension, which can impact the fund's yield and total return
- Liquidity risk: The fund may have difficulty selling certain securitized debt instruments, particularly in times of market stress
👤 Best For
The Touchstone Securitized Income ETF may be suitable for investors seeking current income and exposure to the securitized debt market, with a medium to long-term investment horizon and a moderate risk tolerance. Investors should be aware of the potential interest rate, credit, and liquidity risks associated with the fund's investments.