It's a bit apples to oranges, but what a difference there is in management attitudes from a...

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vandob Comments (26)
 
NLY is right---thinking of the balance sheet as a trading vehicle is short term in nature---exactly what has got this country in the mess it's dealing with now!
8 Nov 2012, 11:50 AM Reply Like

jerryu44 Comments (109)
 
theres nothing wrong with trading, if you know how to do it. most however lose money trading.
8 Nov 2012, 11:54 AM Reply Like

REIT Analyst Comments (218)
 
Jerry - 100% agreed. The reason why NLY can't really think of its balance sheet in very creative terms is that it is too big, quite simply. If you have 70bb to put to work, the set of opportunities looks a lot smaller in the agencies specified pools market. Oh and they don't do non-agencies either.
8 Nov 2012, 02:14 PM Reply Like

gls3 Comments (2)
 
agree, very positive on the c/c with solid 12.5% divi described as safe going forward as well as possible special divi in feb. to help holders pay taxes. c/c is worth the time for anyone interested in mortgage buyers / traders.... efc is not a reit
i exited nly earlier in the year and have been buying efc on dips.
8 Nov 2012, 02:59 PM Reply Like

Micro_Cap_Maven Comments (26)
 
Two completely different business models and hedging philosophies. Agency is a small contributor to EFC, which generates the bulk of its earnings in non-Agency.
8 Nov 2012, 03:03 PM Reply Like

Micro_Cap_Maven Comments (26)
 
NLY and EFC have two entirely different strategies and philosophies regarding hedging. Why they are even mentioned in the same breathe as NLY makes no sense.
8 Nov 2012, 05:09 PM Reply Like