PR Newswire (Nov 19, 2013)
PR Newswire (Nov 4, 2013)
PR Newswire (Oct 30, 2013)
PR Newswire (Sep 26, 2013)
PR Newswire (Sep 25, 2013)
PR Newswire (Sep 23, 2013)
PR Newswire (Aug 22, 2013)
PR Newswire (Aug 1, 2013)
PR Newswire (Jul 30, 2013)
PR Newswire (Jun 28, 2013)
PR Newswire (May 23, 2013)
PR Newswire (May 20, 2013)
PR Newswire (May 8, 2013)
PR Newswire (May 1, 2013)
PR Newswire (Apr 26, 2013)
PR Newswire (Apr 16, 2013)
PR Newswire (Apr 9, 2013)
PR Newswire (Mar 28, 2013)
PR Newswire (Mar 6, 2013)
PR Newswire (Mar 6, 2013)
at CNBC.com (Dec 13, 2012)
at CNBC.com (Jun 24, 2011)
at MarketWatch.com (Apr 29, 2011)
We are primarily engaged in the business of investing, on a leveraged basis, in residential Agency and Non-Agency ARM-MBS. At December 31, 2009, we had total assets of approximately $9.627 billion, of which $8.758 billion, or 91.0%, represented our MBS portfolio. At such date, our... More
Saturday, Nov 309:42 AMGundlah: Time to buy interest rate risk
Saturday, Nov 309:42 AM| 56 Comments
- "People are absolutely freaking out about interest-rate risk," says Jeff Gundlach, sitting down with Robert Shiller to size up the investment landscape. Ever the contrarian, Gundlach suggests last year's 1.4% low in the 10-year Treasury yield could still get taken out. The catalyst? "You never know until after the fact; otherwise, it would be priced in the market. But there is no inflation."
- The see "freaking out" in a picture, check out the price charts of the mortgage REITs, particularly the two proxies for riding the long end of the curve - Annaly (NLY) and American Capital Agency (AGNC). Gundlach: "You can take advantage of pockets of opportunity in what people don't want ... If you're willing to take the interest-rate [risk], you can get yields of 11% in the agency mortgage market."
- Constructive on housing (but not homebuilders), Gundlach is also bullish on non-agency mortgage paper, calling it the cheapest sector in fixed income on a risk-adjusted basis. Fans of also beaten-up non-agency mREITs like American Capital Mortgage (MTGE), MFA Financial, Dynex (DX), and Two Harbors (TWO) may want to take notice.
- Mortgage REIT ETFs: REM, MORT, MORL
- Long-duration Treasury ETFs: TBT, TLT, TMV, TBF, EDV, TTT, TMF, TLH, ZROZ, SBND, DLBS, VGLT, UBT, TLO, LBND, TENZ, TYBS, DLBL
Tuesday, Nov 261:54 PMAnnaly leads more declines in mREITs
Tuesday, Nov 261:54 PM| 44 Comments
- At what point do you just liquidate the portfolio? Habits die hard and traders used to hitting the sell button on the mREITs (REM -0.5%) are doing so again today even as interest rates slide a bit.
- Hitting another multi-year low today, Annaly (NLY -1.3%) - with a portfolio of very liquid assets heavily hedged against rising rates - is now selling for 20% less than September 30's reported book value.
- American Capital Agency (AGNC -0.8%) - with an equally liquid hedged portfolio - is also at about a 20% discount. Previous: CIO Kain promises to continue buybacks at this discounted level.
- Other agency players: Hatteras (HTS -1%), CYS (CYS -1.4%), Capstead (CMO -1%).
- Non-agency mREITs are slipping as well - even as Case-Shiller reports continued solid gains in home prices (which should boost portfolio values). Two Harbors (TWO -1.5%), MFA (MFA -1.4%), Western Asset (WMC -1.1%).
- ETFs: MORT, MORL
Monday, Nov 48:23 AMEx-special dividend, MFA retains book value
Monday, Nov 48:23 AM| Comment!
- Book value per share of $7.85 is off 4.1% from Q2's $8.19, but the company did pay a $0.28 special dividend during Q3. The stock closed at $7.43 on Friday.
- Company has $61M in undistributed income (very roughly, a quarter's worth) thus far in 2013 - it has up until next September to declare a distribution of any income not previously distributed.
- Home price appreciation continues to lower the LTVs of the mortgages in MFA's non-agency book - the company estimates the average has fallen to less than 85% from 105% at the start of 2012. Thus another $71M is moved from the credit reserve bucket into the accretable discount bucket, bringing the total to $241.3M over the last year.
- 45% of MFA's non-agency portfolio is in California and 8% is in Florida. The loss-adjusted yield of 7.33% (up from 7.15% in Q2) assumes defaults on 32% of underlying loans even as loans currently more than 60 days delinquent are just 17% of loans.
- CC at 10 ET.
- Q3 results, press release.
- MFA no trades premarket.
Monday, Nov 48:04 AM
Monday, Nov 412:05 AM
Sunday, Nov 35:30 PM
Thursday, Sep 269:31 AM
Monday, Sep 239:04 AMMFA Financial to get new CEO
Monday, Sep 239:04 AM| Comment!
- MFA Financial (MFA) appoints William Gorin as CEO, effective January 1. Currently MFA's president, Gorin will succeed Stewart Zimmerman, retiring after being CEO since 1997 and chairman since 2003.
- EVP Craig Knutson will replace Gorin as president and also assume the newly-created role of COO.
- Press release.
Monday, Sep 168:07 AMNon-agency mREITs boosted at Compass Point
Monday, Sep 168:07 AM| Comment!
- Compass Point is bullish on (certain) non-agency mREITs with the group overall trading at sizable discounts to book value and maybe having priced in not just the recent interest rate rout, but future routs to come.
- In addition to Ellington Financial (EFC) started at a Buy (yes, we know EFC is a LLC, not a REIT), the firm also initiates Dynex (DX) and MFA Financial (MFA) with Buys.
Friday, Sep 132:49 PMNon-agency holdings show gains for MFA Financial
Friday, Sep 132:49 PM| Comment!
- A new investor presentation from MFA Financial (MFA -0.1%) shows the mREIT has slashed the effective duration of its portfolio from 1.7% at Q2's end to 0.9% as of the end of August. The addition of longer-term swaps, shorting of 15 TBAs, select asset sales, and acquisition of lower duration paper have enabled the change.
- Non-agency holdings make up $5.3B (market value) of total assets of $12.3B. The paper generated a loss-adjusted unlevered yield of 7.15% in Q2. Home price appreciation over the past year as well as amortization has allowed the company to lower its estimate of future losses on the portfolio, transferring $224M from credit reserves in the year ended June 30.
- The non-agency portfolio is heavily concentrated in California with 44.8% of the underlying loans backed by property there. Florida is next with 8.1%. All counties in both states in which the loans are concentrated have seen significant home price appreciation in the last year.
Tuesday, Aug 2010:50 AMSizable bounce for mortgage REITs
Tuesday, Aug 2010:50 AM| 25 Comments
- Sector giants Annaly (NLY +3.3%) and American Capital Agency (AGNC +4.3%) are the leading gainers, followed but Armour (ARR +2.6%), MFA (MFA +2.7%), Dynex (DX +2.8%), New York Mortgage (NYMT +3.3%), and Western Asset (WMC +2.8%) as interest rates take a breather from going up.
- Earlier: This year's Treasury bear market may be the worst one yet.
- Especially ugly trade in the preferreds of many of the agency mortgage REITs have some traders wondering if retail panic isn't ringing a bell for a bottom in the sector. Today, the action isn't necessarily ugly, but it is sloppy - with different preferreds of the same issuer (Armour, for example I, II) trading in different directions even as both represent the same credit risk.
- ETFs: (REM +2.4%), (MORT +2.7%), (MORL +5.8%).
Friday, Aug 161:24 PM10-year Treasury yield wants 3%
Friday, Aug 161:24 PM| 42 Comments
- It's thin trading conditions, but the 10-year Treasury yield jumps 9 bps all of a sudden to 2.86%, touching a new 2-plus-year high. This despite weaker-than-expected consumer and housing data this morning.
- TLT -0.8%, TBT +1.7%.
- The move is taking a toll on stocks, where the S&P (SPY -0.4%) has slipped more than half a percent off the session high.
- The mortgage REITs (REM -1.7%), (MORT -1.5%), (MORL -3.5%) quickly react to the downside. Leading are: Armour (ARR -2.9%), CYS (CYS -4.2%), Javelin (JMI -3.5%), Hatteras (HTS -2.3%), (MFA -2.6%), Annaly (NLY -1.9%), American Capital (AGNC -1.8%), Dynex (DX -1.4%).
Wednesday, Aug 147:45 AMTepper makes a number of moves in Q2
Wednesday, Aug 147:45 AM| 4 Comments
- New positions for David Tepper's Appaloosa Management for the quarter ended June 30 include: AXLL, CBI (both common stock and call options), CCL, HTZ, PGEM, TEX, TRN, WWAV.
- He upped stakes in a number of previously held names, with the most significant additions being BAC, FLR, FWLT, KBR, and PRU.
- Among those positions cut, the most significant moves are: AIG, AAPL, BYD, DLPH, CIM, GM (cashed in almost all warrants), LCC, MSFT, and WFT.
- He eliminated stakes in MFA, SBY, and TWO.
- A quick take on the overall picture shows a concern with rising rates considering the big cut in his Chimera stake along with the elimination of his positions in MFA Financial, Silver Bay Realty, and Two Harbors.
- Sources: 13F filing, StreetInsider.
Thursday, Aug 18:55 AMMFA Financial book value drops 7.4% in Q2
Thursday, Aug 18:55 AM| Comment!
- Book value per share of $8.19, off 7.4% from Q1 and against yesterday's close of $7.98.
- Management trumpets conservative accounting: Loss-adjusted yield on non-agency portfolio of 7.15% (up from 6.8% in Q1) is based on projected defaults that are nearly double the amount of underlying loans currently 60+ days delinquent.
- Company believes LTV on loans in its non-agency book has declined to 90% from 105% over last 18 months.
- Leverage of 3.1:1.
- Earnings call at 10 ET. (PR)
- MFA -1.1% premarket.
- Earlier: Earnings report, special dividend.
Thursday, Aug 18:40 AM
Thursday, Aug 18:34 AM