Podcast: The Hazards Of Mortgage REITs

|
About: AGNC Investment Corp. (AGNC), Includes: REM
by: Valuentum
Summary

Mortgage REITs sound like safe investment vehicles but they are far from it.

We'll cover the mortgage REIT business model and the concept of largely unhedged spread risk.

Could spread risk, an often overlooked factor, lead to steep book value declines and further weakening of dividend health across the industry?

President of Investment Research Brian Nelson talks mortgage REITs and the concept of spread risk that may lead to steep book value declines and weakened dividend health across the industry. ~5 mins.

Image Sources: Valuentum, AGNC Investment Corp. (NASDAQ:AGNC)

Related ETFs: iShares Mortgage Real Estate Capped (BATS:REM)

--------------------------------------------------

This article or report and any links within are for information purposes only and should not be considered a solicitation to buy or sell any security. Valuentum is not responsible for any errors or omissions or for results obtained from the use of this article and accepts no liability for how readers may choose to utilize the content. Assumptions, opinions, and estimates are based on our judgment as of the date of the article and are subject to change without notice. For more information about Valuentum and the products and services it offers, please contact us at info@valuentum.com.

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.