CMO's

[icetonez]

Does anyone own a CMO tranche? I know the minimum investment is high, but are these a good investment? Also, where can you buy these online? I haven't found a place that sells them.

[Sniper]

For the benefit of those reading this who have no idea what he's talking about...

http://www.selecttrade.com/products/prod_cmo.html
http://www.investingbonds.com/story.asp?id=35

[RiverFenix]

CMOs should be an awesome investment for the next year or so with interest rates going up, no?

I remember a professor talking about them a while ago, minimal investment was atleast $10k I think, cant remember. Ill shoot him an email and see if he can say anything more about them.

[chardog]

I read the "Bond Bible" by Marilyn Cohen. She does NOT like CMOs as a fixed income investment. From what I remember she stated that tranches sold to the public are generaly the lower quality ones. I can re-read the section and be more specific if you want.

http://www.amazon.com/exec/obidos/tg/detail/-/0735201382/qid=1127184892/sr=8-1/ref=pd_bbs_1/103-6716551-8817411?v=glance&s=books&n=507846