TAMPA,
Fla., Sept. 16, 2024 /PRNewswire/ -- In a new
research paper combining macroeconomic data with high frequency
asset-backed securities (ABS) data, DoubleLine Portfolio Manager
Andrew Hsu and ABS Trader Michael
Fine find a persistently resilient U.S. consumer.
The research paper, "The State of the U.S. Consumer Through the
Lens of Asset-Backed Securities," can be accessed here:
https://doubleline.com/wp-content/uploads/Consumer-ABS-and-the-US-Consumer_Hsu_Fine_September-2024.pdf
Consumer resilience, Messrs. Hsu and Fine write, "is likely
fueled by the strength of the residential mortgage market, a robust
labor market and the excess savings accumulated during the
pandemic." Notwithstanding that strength, they note that "potential
risks to the consumer persist, including the depletion of these
savings, wage stagnation, a recent rise in unemployment and ongoing
high consumer prices, notwithstanding cooling in the year-over-year
rate of inflation."
Amid that conjuncture of consumer resilience and economic risk,
the authors report that DoubleLine continues "to find attractive
relative value in select areas of the ABS consumer market. While
prepayments, defaults and loss severities require close monitoring,
they all remain within reasonable historical average moving
bands."
Andrew Hsu, CFA, is a Portfolio
Manager for the DoubleLine Total Return and ABS/Infrastructure
Income strategies. Mr. Hsu is a permanent member of the Fixed
Income Asset Allocation and Structured Products committees. Prior
to that, he was responsible for analysis and trading of structured
products, where his focus included residential RMBS and ABS
transactions. Mr. Hsu's responsibilities have also included
structuring and negotiating terms on new-issue transactions and
forming strategic partnerships with issuing entities in order to
participate in key transactions.
Michael Fine is a Trader on
DoubleLine's ABS team. Previously, he was an Analyst on the Risk
Management team focusing on credit research and trading. Prior to
DoubleLine, Mr. Fine was with Western Asset Management as an
Analyst performing structured credit research and providing
portfolio analysis on multisector fixed-income portfolios. Prior to
that, he was member of the Analytics team.
About DoubleLine
DoubleLine Capital LP is an investment adviser registered under
the Investment Advisers Act of 1940. DoubleLine's offices can be
reached by telephone at (813) 791-7333 or by email at
info@doubleline.com. Media can reach DoubleLine by email at
media@doubleline.com. DoubleLine® is a registered trademark of
DoubleLine Capital LP.
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SOURCE DoubleLine