ADDED
As of February 13, 2026, there were 87,016,604 comm on shares of the registrant outstanding.
We also invest in Agency and senior non-Agency MBS, subordinate MBS, interest-only ("IO"), principal-only ("PO") stripped MBS and Agency floating rate collateralized mortgage obligations ("CMOs").
A significant portion of our business involves Government-Sponsored Enterprises ("GSEs"), specifically the Federal Home Loan Mortgage Corporation ("Freddie Mac") and the Federal National Mortgage Association ("Fannie Mae").
Freddie Mac and Fannie Mae are each referred to as an Agency and, collectively as the "Agencies".
We operate our business in three segments: credit sensitive strategies, interest rate sensitive strategies and correspondent production.
The interest rate sensitive strategies segment represents our investments in MSRs, Agency MBS and structured products (including IO and PO MBS and floating rate CMOs), senior non-Agency MBS and the related interest rate hedging activities.
We primarily sell the loans we acquire through our correspondent production activities to the Agencies.
6 Our corporate operations include management fees, compensation, professional services, and other amounts attributable to the Company s corporate operations and certain interest income and expense.
A non-qualified mortgage loans is a residential mortgage loan that is not eligible for treatment as a qualified mortgage under the ability-to-repay rules but is underwritten to alternative credit standards.
We then either: sell certain Agency-eligible loans meeting the guidelines of the GSEs to Fannie Mae or Freddie Mac ( GSE-Eligible Loans ) on a servicing-retained basis and retain the related MSRs; create and issue structured MBS and retain a portion of the interests, such as certain senior and subordinate securities, and sell the remaining senior MBS; or sell loans to banks or other investors, generally on a servicing retained basis.
REMOVED
As of February 17, 2025, there were 86,860,960 common shares of the registrant outstanding.
We also invest in Agency and senior non-Agency MBS, subordinate credit-linked MBS and interest-only ("IO") and principal-only ("PO") stripped MBS.
We have also historically invested in distressed mortgage assets (distressed loans and real estate acquired in settlement of loans ( REO )), which we have substantially liquidated.
Our business includes three segments: credit sensitive strategies, interest rate sensitive strategies and correspondent production.
The interest rate sensitive strategies segment represents our investments in MSRs (including both base servicing and excess servicing spread ( ESS ), collectively referred to as MSR), Agency and senior non-Agency MBS and the related interest rate hedging activities.
We primarily sell the loans we acquire through our correspondent production activities to government-sponsored entities ("GSEs") such as the Federal National Mortgage Association ( Fannie Mae ) and the Federal Home Loan Mortgage Corporation ( Freddie Mac ) or to PLS for sale into securitizations guaranteed by the Government National Mortgage Association ("Ginnie Mae"), or the GSEs.
Fannie Mae, Freddie Mac and Ginnie Mae are each referred to as an Agency and, collectively, as the Agencies.
6 Our corporate operations includes management fee and corporate expense amounts as well as certain interest income and expense.
We then either: sell certain Agency-eligible loans meeting the guidelines of the GSEs for sale to Fannie Mae or Freddie Mac ( GSE-Eligible Loans ) on a servicing-retained basis and retain the related MSRs; sell government loans (insured by the Federal Housing Administration or guaranteed by the U.S.
Department of Agriculture) and certain GSE-Eligible Loans on a servicing-released basis to PLS, a Ginnie Mae approved issuer and servicer, for which we earn sourcing fees as described in Note 4 Transactions with Related Parties to the consolidated financial statements included in this Report; create and issue structured MBS, retain a portion of the subordinate securities and sell the remaining senior MBS to nonaffiliates; or sell loans with certain specified characteristics to banks or other investors, generally on a servicing retained basis.