As more reported cases of the coronavirus flood the news, investors are seeking the safe haven of bonds, which sparked a drop in yields—thus, causing mortgage rates to fall. If more investors keep piling into bonds, investors should keep an eye on fixed income ETFs as well as funds backed by mortgages.

The Fed has been on a mortgage bond buying spree since May with a goal of $30 billion in purchases in mind, according to a MarketWatch report. ETF investors can put mortgage bond funds on their radars as the central bank takes on this hefty endeavor and ramps up their purchases through the end of the year.

The Fed has been on a mortgage bond buying spree since May with a goal of $30 billion in purchases in mind, according to a MarketWatch report. ETF investors can put mortgage bond funds on their radars as the central bank takes on this hefty endeavor and ramps up their purchases through the end of the year. The purchase of mortgage bonds was something the Fed implemented over 10 years ago during the financial crisis in 2008—of course, mortgage-backed securities at the time were deemed as toxic assets that helped cause the crisis.