Baird's 4+1 Strategy Equals Depository-Friendly Paths to Alpha

On this week’s Convexity Pulse, Kirill reviews last week's MBS market dynamics and a few post Jackson Hole macro thoughts. Turning to housing, he explores the narrowing cost gap between new and existing homes, the evolving role of LLPA waivers in Mission loans, and how these waivers provide call protection for MBS investors. Finally, he discusses Baird's “4+1” MBS strategy tailored for depositories, highlighting 15yr MBS, Seasoned 30yr Collateral, CMOs, and select niche sectors.