Spread increase, decrease, mortgage, allocation, understand

Zesty

schweser note 3, page 116:

if the spread increase, increase the exposure to mortgate
if the spread decreases, decrease the exposure to mortgage

2009 CFAI smaple 1, question 30 , answer explaination

if the portfolio manager expexts spread to narrow for all of spread product sector, he or she should underweight the allocation to Treasures and Overweight to the spread product, ie, mortgate, asset-backed, and CMBS sectors.


don't understand why there are differences here

Darien

P116 talks about is hedging, of course it's opposite position to the 2009 sample question.