Robust returns on distressed mortgage-backed securities have made Angelo, Gordon & Co. an investor favorite in this area. Clients made new allocations to an Angelo Gordon fund after its strong performance in 2011. They expect it will gain from continuing recovery in the American housing market.
Angelo Gordon was a participant in the Federal Reserve’s Term Asset-Backed Securities Loan Facility – TALF – created in 2009 to help restart the market by encouraging investment in mortgage securities. The program provided credit for buying such securities.
A number of large investors like the North Carolina Retirement System put money in the Angelo Gordon TALF venture. Last year the venture profited from selling securities purchased at low prices in the badly depressed 2009 market.
Founded by John Angelo and Michael Gordon in 1988, the firm currently has around $24 billion in assets. Besides various securities trading strategies, it runs a substantial real estate business.
Tags: Federal Reserve, John Angelo, Michael Gordon, North Carolina Retirement System, TALF
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