A water-based latex of an acrylic-modified waterborne alkyd or uralkyd dispersion in water is described. The acrylic-modified waterborne alkyd or uralkyd is a hybrid resin prepared by the polymerization of at least one latent oxidatively-functional (LOF) acrylic monomer in the presence of a waterborne alkyd or uralkyd. Alternatively, the acrylic-modified waterborne alkyd or uralkyd is a hybrid resin prepared by shearing a mini-emulsion based on a solvent-borne alkyd or uralkyd dissolved in at least one LOF acrylic monomer. Preparation of the latexes may be achieved by emulsion polymerization of at least one latent oxidatively-functional acrylic monomer in the presence of a waterborne alkyd or uralkyd whereby the latent oxidative functionality of the acrylic polymer survives polymerization. Water-based latexes may also be prepared by polymerizing a sheared mini-emulsion based on a solvent-borne alkyd or uralkyd dissolved in at least one LOF acrylic monomer such that the latent oxidative functionality of the acrylic polymer survives polymerization. Such acrylic-modified waterborne alkyd or uralkyds are useful in a variety of coating compositions.