Denver-based Braddock Financial's Mortgage Opportunity fund has been handily crushing rivals in the mortgage-backed sector. Overseen by Harvey Allon and John Smith, the fund has had a stellar showing of 48% through October. Braddock has overcome interest-rate and supply challenges by focusing on subordinate residential mortgage-backed securities, a sub-sector where demand has helped shape a strong pricing environment. Additional gains came through holding period income. In fact, the Mortgage Opportunity Fund V has not seen a losing month since inception in early 2001. In October, the strategy was up 6.9%, its best monthly showing ever.