Columbia Mortgage Opportunities Fund Q4 2024 Commentary

Summary

• Columbia Mortgage Opportunities Fund Institutional Class shares returned –2.90% in Q4 2024, underperforming the FTSE One-Month U.S. Treasury Bill Index's 1.20% return.
• Bond market volatility increased due to economic uncertainty, inflation concerns, and rising Treasury yields, impacting mortgage-backed securities and mortgage rates.
• Despite challenges, current production agency MBS is attractively priced, with yields comparable to investment-grade corporate bonds, offering potential value for investors.
• The outlook remains cautious, focusing on high-quality, shorter-duration bonds to mitigate downside risks while capitalizing on elevated yields and favorable consumer performance.

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Average annual total returns (%) for period ending December 31, 2024

Columbia Mortgage Opportunities Fund	3-mon.	1-year	3-year	5-year	10-year
Institutional Class	-2.90	5.24	-2.36	1.37	3.53
Class A without sales charge