Capstead Mortgage earnings call: Dividend is data dependent

• Responding to a question about what the level of the dividend may be going forward - it was $0.31 quarterly in 2013, $0.34 in 2014, but lower rates/higher prepayments could threaten that going forward - Capstead (CMO -2.5%) CEO Andrew Jacobs says management still have six weeks until making a Q1 declaration, and it'll have to see how things go.
• Earnings call transcript
• With rates taking a tumble this year, prepayments are the wild card, and Jacobs says each full percentage point gain in CPR costs Capstead about $1.5M (a bit less than a penny and half per share) quarterly in premium amortization.
• For those who think falling long-term rates are unambiguously good for mREITs, here's CIO Robert Spears:  "A 1% 10-year and funds not moving is not good for any mortgage investor obviously."
• Previously: Capstead Mortgage warns on prepayments (Jan. 28)
• Previously: Capstead Mortgage misses by $0.02, beats on revenue (Jan. 28)