01
May
2025
Regan Capital Launches the Regan Fixed Rate MBS ETF (NYSE: MBSX)
Veteran asset-backed securities portfolio manager Skyler Weinand launches MBSX, an actively managed exchange-traded fund that invests in fixed rate Residential Mortgage-Backed Securities
DALLAS – Regan Capital, an investment firm with approximately $2.6 billion in assets under management, today announced the launch of the Regan Fixed Rate MBS ETF (NYSE: MBSX), an actively managed exchange-traded fund that invests primarily in fixed rate Agency Residential Mortgage-Backed Securities (RMBS).
Agency RMBS typically offer higher yields than Treasury bonds without significant additional risk, since Agency RMBS are backed by government sponsored entities, such as Fannie Mae and Freddie Mac.
MBSX seeks to enhance the spread that Agency RMBS yields typically have over yields on Treasury bonds and corporate bonds through the alpha generated from its portfolio of actively managed Agency RMBS.
MBSX follows the February 28, 2024 launch of Regan Capital’s first ETF, the Regan Floating Rate MBS ETF (NYSE: MBSF), an actively managed exchange-traded fund that invests primarily in floating rate Agency Residential Mortgage-Backed Securities (RMBS), which has approximately $150 million in assets as of March 31, 2025.
“MBSX gives investors access to the massive $10 trillion Agency Residential Mortgage-Backed Securities market. With the ETF’s actively managed strategy, investors can access a high quality and government-backed product at much cheaper valuations than traditional fixed income assets like Treasury bonds or corporate bonds,” said Skyler Weinand, chief investment officer and managing member of Regan Capital and portfolio manager of MBSX.
The fixed rate aspect of MBSX seeks to offer a stable and more predictable income during a time of heightened volatility across many asset classes.
“As investors look for safety as markets reel from tariff-driven volatility and fears, we consider fixed rate Agency Residential Mortgage-Backed Securities to be immune from tariffs since they are priced on existing U.S. home loans, and not reliant on the construction of future homes, which may face headwinds from rising materials and building costs from tariffs,” Weinand added.
The Agency RMBS in MBSX are purchased on over-the-counter (OTC) markets, which are typically only available to investors with deep relationships with primary dealers and brokers. MBSX is launching with roughly $10 million from select seed investors. MBSX charges a 0.40% annual operating expense fee and does not seek to replicate the performance of any index.
In 2020, Regan Capital launched the Regan Total Return Income Fund (RCIRX), a mutual fund with assets over $1.36bn, which invests across the fixed income market with a focus on mortgage bonds. It was the recipient of the 4-Star Morningstar Rating™, based on risk-adjusted returns for the three-year and overall periods, out of 279 funds in the Nontraditional Bond Category as of 3/31/2025.
For more information, please visit: www.regancapital.com/mbsx/
About Regan Capital
Founded in 2011, Regan Capital, LLC is an SEC Registered Investment Adviser. The firm’s target investor base includes endowments and foundations, banks and insurance companies, corporate and public pension plans, family offices, high net worth individuals and Registered Investment Advisors. The firm is based in Dallas, Texas.
Regan Capital was founded by Skyler Weinand, who serves as chief investment officer and managing member. Previously, Weinand was head of residential and consumer asset-backed (ABS) securities trading at Cantor Fitzgerald from July 2007 to March 2011. Prior to that, Weinand was responsible for trading a $2+ billion mortgage-backed securities (MBS) portfolio at Sit Investment Associates from July 2005 to June 2007. From 2001 to 2005, Weinand was employed with GMAC-RFC, where he was responsible for portfolio valuation on a $1 billion MBS subordinate book, structuring CDOs, and structuring the first re-performing securitizations to come to market.
Disclosures:
Investors should consider the investment objective, risks, and charges and expenses of the Fund(s) before investing. The prospectus contains this and other information about the Fund(s) and should be read carefully before investing. The prospectus may be obtained by calling the Fund toll-free at (800)-617-0004 or at www.regancapital.com/mbsx-prospectus/.
This information is for use with concurrent or prior delivery of the Regan Floating Rate MBS ETF prospectus. Investors should consider the investment objective, risks, and charges and expenses of the Fund(s) before investing. The prospectus contains this and other information about the Fund(s) and should be read carefully before investing. The prospectus may be obtained by calling the Fund toll-free at (844)-988-6273 or at www.regancapital.com.
The Regan Total Return Income Fund’s investment objectives, risks, charges, and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company. Please read it carefully before investing. A free hard copy of the prospectus can be requested by calling +1 888-988-6273 or at www.regancapital.com.
Regan Fixed Rate MBS ETF is distributed by Quasar Distributors, LLC member FINRA/SIPC. Regan Capital, LLC is not affiliated with Quasar Distributors, LLC.
The Regan Total Return Income Fund is distributed by Quasar Distributors, LLC, which is not affiliated with Regan Capital, LLC, Northern Lights Distributors, LLC, or any of their affiliates.
Regan Floating Rate MBS ETF is distributed by Northern Lights Distributors, LLC member FINRA/SIPC. Regan Capital, LLC is not affiliated with Northern Lights Distributors, LLC
IMPORTANT RISKS: Exchange Traded Fund investing involves risk. Principal loss is possible. The Fund is newly formed and has no operating history. An investment in the Fund is not a deposit of any bank and is not insured or guaranteed by any government agency. There is no guarantee that any investment strategy will achieve its objectives, generate profits, or avoid losses.
Diversification does not ensure a profit or guarantee against loss.
As a result of its active trading strategy, the Fund may incur higher levels of brokerage fees and commissions, and cause higher levels of current tax liability to shareholders in the Fund.
The Fund invests in MBS issued or guaranteed by the U.S. government or one of its agencies or sponsored entities, some of which may not be backed by the full faith and credit of the U.S. government. MBS are subject to interest rate, prepayment, and extension risk. MBS are dependent on real estate prices and real estate fundamentals. When real estate prices face a significant decline, the Fund’s securities may be negatively affected. Regulatory actions may also have an adverse impact on real estate prices.
ETFs are subject to additional risks that do not apply to conventional mutual funds, including the risks that the market price of an ETF’s shares may trade at a premium or discount to its net asset value, an active secondary trading market may not develop or be maintained, or trading may be halted by the exchange in which they trade, which may impact an ETF’s ability to sell its shares. Shares of any ETF are bought and sold at market price (not NAV) and are not individually redeemed from the ETF. Brokerage commissions will reduce returns.
The Morningstar Rating for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange -traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.
As of 3/31/25, the Regan Total Return Income Fund (RCIRX) received a Morningstar Rating of 4 stars (overall and for the three-year time period) out of 279 funds in the Nontraditional Bond Category.
Media Contact:
Scott Gamm
Strategy Voice Associates
scott@strategyvoiceassociates.com