Angel Oak Capital Advisors, a structured credit investment solutions provider, has raised approximately $1 billion in institutional equity capital on a year-to-date basis focusing on non-agency residential mortgage credit. Strategies managed by the firm are targeted to provide equity capital for approximately $20 billion in non-agency mortgage origination over the next two to three years.
“Our institutional capital raising this year is a testament to our ability to provide structured credit solutions that resonate with yield-seeking institutions including sovereign wealth funds, global pensions, and insurance companies,” says Sreeni Prabhu, managing partner and group chief investment officer at Angel Oak Capital. “Angel Oak’s vertical integration and hands-on approach toward non-agency origination differentiates us in the marketplace. We continue to receive interest from globally recognized institutional investors, which bodes well for our capital raising efforts going forward.”
Angel Oak has taken part in the private label non-agency market and established the Angel Oak Mortgage Trust (AOMT) securitization shelf. Earlier this year, Angel Oak issued the social bond securitization, AOMT 2021-2.
“Our non-agency investment strategies provide institutional investors with access to the residential mortgage market and importantly, diversification within their private credit portfolios away from corporate credit,” states Manish Valecha, CFA, head of client solutions at Angel Oak Capital. “We believe owning the junior bonds from AOMT securitizations makes for a compelling investment especially in a zero-bound environment.”