Mortgage REITs Surging

seekingalpha07-22

After a terrible start to the year, mortgage REITs are hot in July.Don’t tell ORC. They missed most of the rally. If only it was an opportunity to destroy book value. They're so good at that.Quick ...

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They're so good at that.Quick ...</p>\n\n<a href=\"https://seekingalpha.com/article/4705378-mortgage-reits-surging\">Source Link</a>\n\n</div>\n","source":"seekingalpha","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Mortgage REITs Surging</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nMortgage REITs Surging\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-07-22 06:29 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4705378-mortgage-reits-surging><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>After a terrible start to the year, mortgage REITs are hot in July.Don’t tell ORC. They missed most of the rally. If only it was an opportunity to destroy book value. They're so good at that.Quick ...</p>\n\n<a href=\"https://seekingalpha.com/article/4705378-mortgage-reits-surging\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"MAIN","symbol_name":"Main Street Capital","start_time":0,"source_url":"https://seekingalpha.com/article/4705378-mortgage-reits-surging","article_id":"2453205009","we_media_id":null,"thumbnails":["https://static.seekingalpha.com/cdn/s3/uploads/getty_images/1145462066/image_1145462066.jpg"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2453205009","pubTimestamp":1721600947,"sourceInfo":{"source_id":"seekingalpha","name":"Seeking Alpha"},"weMediaInfo":null,"summary":"That’s actually quite simple. ORC did it worse. It’s kind of like when you compare four athletes and wonder why one of them has a much weaker stat line. They played worse. 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They are schedu","collect":0,"end_time":0,"defaultTopTitle":"seekingalpha.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"MAIN":"Main Street Capital","BK4585":"ETF&股票定投概念","CFA":"VictoryShares US 500 Volatility Wtd ETF","AGNC":"美国资本代理公司","MORT":"VanEck Mortgage REIT Income ETF","BK4588":"碎股","CFA.SI":"NikkoAM-STC Asia REIT","NLY":"Annaly Capital Management","BK4135":"资产管理与托管银行","BK4110":"抵押房地产投资信托","ORC":"Orchid Island Capital Inc.","DX":"德尼克斯投资"},"translate_title":"抵押房地产投资信托基金激增","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"AGNC":1,"ORC":1,"NLY":1,"MORT":1,"MAIN":1,"DX":1,"CFA.SI":1,"CFA":1,"US10Y.BOND":0.9,"US12M.BOND":0.9,"US2Y.BOND":0.9,"US30Y.BOND":0.9,"US3Y.BOND":0.9,"US5Y.BOND":0.9,"US6M.BOND":0.9,"US7Y.BOND":0.9,"US912797GK78.BOND":0.6,"US912797GL51.BOND":0.6,"US912797GW17.BOND":0.6,"US912797HE00.BOND":0.6},"content_text":"After a terrible start to the year, mortgage REITs are hot in July.Don’t tell ORC. They missed most of the rally. If only it was an opportunity to destroy book value. They're so good at that.Quick commentary on MAIN.Sharing our predictions for AGNC before earnings areannounced.   Kateryna Skorupska/iStock via Getty ImagesBrief article for this weekend. I want to cover some earnings projections for the mortgage REITs and BDCs. We have some preliminary results from a few companies already. Main Street Capital We have Main Street Capital (MAIN) establishing a preliminary figure in the $29.77 to $29.83 range. Midpoint is $29.80. That's quite similar to our estimate of $29.90. MAIN also previewed net investment income in the $1.00 to $1.02 range. That comes in very slightly under our projections and below the two prior quarters. MAIN is a favorite with many income investors because they combined a high yield with growing NAV per share over a long period. This can be an advantage for a well-operated and internally-managed BDC. They tend to trade above NAV, which creates opportunities to issue new shares above NAV. Each time that happens, it drives NAV per share higher. The downside for investors is that it is extremely difficult to get an attractive price-to-NAV for entering positions. It’s actually a bit surprising that we don’t see the creation of more internally managed BDCs. They can still be very attractive to management since issuing above NAV creates a much longer company (which enables compensation). Further, management can enjoy the praise from running a successful BDC like MAIN. It’s a good technique. Orchid Island Capital Sometimes I mock Orchid Island Capital (ORC) for their ability to destroy shareholder capital over long periods. If only destroying shareholder value was a sport. ORC pays out a monstrous dividend, but consistently drives book value per share lower. Investors think about dividends as being paid out of net interest income, but that's the only way to think about it. When a dividend is paid, it reduces the cash available on the company’s balance sheet. Cash is one part of book value. During the quarter, the company is accumulating cash from the net interest income. That helps their book value. When they pay out the dividend, it reduces their book value. Note: There's a bit of an issue with the difference between ex-dividend dates and payment dates. We’re absolutely not going to get into that issue here.  You might think that ORC’s business is inherently flawed. You might say that buying agency MBS, using repo financing, and hedging for duration is a dumb idea. However, that is the same business strategy of AGNC Investment (AGNC), Annaly Capital (NLY), and Dynex Capital (DX). So what was so different? That’s actually quite simple. ORC did it worse. It’s kind of like when you compare four athletes and wonder why one of them has a much weaker stat line. They played worse. AGNC Investment AGNC hasn’t announced yet. They are scheduled to announce on 7/22/2024 after the market closes with their earnings call the next morning. We’re projecting tangible book value per share for 6/30/2024 to be around $8.55. That would be down 3.3% from $8.84 at the end of Q1 2024. Our estimates are based on projecting the performance of each part of their portfolio, then adding up all of the adjustments. To be clear, we can’t be expected to nail these values every single quarter. However, our historical accuracy is pretty good. I’d be happy to include our record here, but then it might look like an advertisement. Feel free to reach out to me with questions about it. Hot Sector The sector has been hot in July. The VanEck Mortgage REIT Income ETF (MORT) delivered 7.51% month-to-date. That’s a big improvement from the first half of the year. At the end of June, the ETF was at -2.67% year-to-date. Many mortgage REITs are up substantially on the month, as you might expect given the ETF performance. A big factor here is interest rates. You can see the sharp drop in Treasury rates this month, though there has been a partial recovery over the last few days: MBSLiveThat’s a material change in the two-year Treasury rate, though rates remain elevated overall. I know, some investors will argue that Treasury yields are just moving back to normal historical levels. In that sense, “historical” is certainly the right word to use. The yield on TIPS (Treasury Inflation-Protected Securities) hit levels not seen since the Great Recessions: FredI find it prudent to point out that there was simply less cash previously. There was less money in the hands of investors looking for a return on capital. As the volume of investors looking for returns increases, the price for financial assets increases. That means lower yields on bonds. However, this mechanism couldn’t function as the Federal Reserve was shoving short-term rates higher. The result was an inverted yield curve as the Federal Reserve has greater influence on short-term rates. There was also less government debt. Creating such high rates causes the deficit to compound even faster. In the bid to end inflation quicker, the Federal Reserve’s strategy of raising rates has committed the government to over one trillion dollars in additional future interest expense. Was committing to printing more dollars over the next decade the best solution to a problem created by too many dollars? I sure don’t think so, but plenty of investors would be happy to scream at me for questioning the wisdom of the government paying them an elevated rate for not taking on risk. Looking for REIT Data I’m looking for a reliable source that pulls equity REIT metrics from the earnings release and supplemental. There was one of those, but they haven’t been updated in quite some time. Specifically, I’d like to see more data on metrics such as:  Same-property NOI Changes to guidance for Core FFO and AFFO Leasing spreads Occupancy  These are inherently “equity REIT” metrics and most data services either miss them for most quarters or include data that is simply wrong. If you have a data source for those metrics, get in touch with me. Why would I include this in my articles? Two of the best data sources I ever found were the result of absolutely trashing the quality of REIT data in a public article. The creators of two new data services saw my complaints and reached out to me. I was very pleased with both. I simply need sources for some particular metrics at this point. Note: I’ve tried some of the much more expensive services. They were actually less accurate than the vastly smaller (and cheaper) new services. Random Preferred Shares I need to mention some preferred shares so I can link to the guide. Not what I wanted to do Friday evening after the article was ready and my work day was done, but it is what it is. DX-C is finally trading very close to our targets. It spent a long time in our target “buy under” range. It has a big spread to LIBOR (which is replaced by SOFR plus the required spread). That’s nice since I own a bunch of shares. Because of the low risk rating and the big spread (when shares float), I think it will either trade above $25.00 or be called. AGNCN trades at $25.65. That means an immediate call could cause investors to lose about $.43 after all adjustments for dividend accrual. I don’t like that deal. If you’re interested in preferred shares, make sure to check out our guide to preferred shares. You know it’s great, because I wrote it. You know it’s long, because it’s more than 67 pages. Examples take space. We could’ve had less examples, but then it wouldn’t be as good. Many readers have told me it’s their primary resource for learning how preferred shares work. It took a few years to bring it all together, so I hope readers enjoy it. Stock Table We will close out the rest of the article with the tables and charts we provide for readers to help them track the sector for both common shares and preferred shares. We’re including a quick table for the common shares that will be shown in our tables:  Type of REIT or BDC  Residential Agency Residential Hybrid Residential Originator and Servicer Commercial BDC   AGNC RC PMT BXMT MAIN   NLY EFC RITM FBRT CSWC   DX CIM  ACRE ARCC   TWO NYMT  GPMT TSLX   ORC MFA   TPVG   ARR MITT   OCSL   CHMI    GAIN   IVR    GBDC       SLRC       OBDC       TCPC       PFLT       FSK       MFIC       PSEC   Click to enlarge If you’re looking for a stock that I haven’t mentioned yet, you’ll still find it in the charts below. The charts contain comparisons based on price-to-book value, dividend yields, and earnings yield. You won’t find these tables anywhere else. For mortgage REITs, please look at the charts for AGNC, NLY, DX, ORC, ARR, CHMI, TWO, IVR, CIM, EFC, NYMT, MFA, MITT, AAIC, PMT, RITM, BXMT, GPMT, WMC, and RC. For BDCs, please look at the charts for MAIN, CSWC, ARCC, TSLX, TPVG, OCSL, GAIN, GBDC, SLRC, OBDC, PFLT, TCPC, FSK, PSEC, and MFIC. This series is the easiest place to find charts providing up-to-date comparisons across the sector. Notes on Chart Sorting Within each type of security, the sorting is usually based on risk ratings. However, it's quite common to have a few shares that are tied. When the shares are tied for risk rating, the sorting becomes arbitrary. There may occasionally be errors where a share’s position is not updated quickly following a change in the risk rating. That can happen because the charts come from a separate system. When I update the system we use for members, it doesn’t change the order in the charts. When I say “within each type of security,” I’m referencing categories such as “agency mortgage REITs.” The “hybrid mortgage REITs” are all listed after the “agency mortgage REITs.” However, that does not mean RC (lowest hybrid) has a higher risk rating than the highest agency mortgage REIT. Each batch is presented by themselves. PMT and RITM are tied for risk rating. This could probably be written better. If someone feels inclined to take it upon themselves to write a section that is objectively better at communicating these points, I would be interested in using it. I’m grateful to have the best readers on SA. I attribute this to self-selection bias. I include enough things to offend the dumb people that I’m left with the best readers. Note: The chart for our public articles uses the book value per share from the quarter indicated in the chart. We use the current estimated (proprietary estimates) book value per share to determine our targets and trading decisions. PMT and NYMT are not showing an earnings yield metric as neither REIT provides a quarterly “Core EPS” metric. Presently, a few other REITs also have no consensus estimate. Second Note: Due to the way historical amortized cost and hedging is factored into the earnings metrics, it's possible for two mortgage REITs with similar portfolios to post materially different metrics for earnings. I would be very cautious about putting much emphasis on the consensus analyst estimate (which is used to determine the earnings yield). In particular, throughout late 2022 the earnings metric became less comparable for many REITs. Residential Mortgage REIT Charts     The REIT Forum The REIT Forum The REIT Forum  Click to enlarge  Commercial Mortgage REIT Charts     The REIT Forum The REIT Forum The REIT Forum  Click to enlarge  BDC Charts     The REIT Forum The REIT Forum The REIT Forum  Click to enlarge  Preferred Share and Baby Bond Charts I changed the coloring a bit. We needed to adjust to include that the first fixed-to-floating shares have transitioned over to floating rates. When a share is already floating, the stripped yield may be different from the “Floating Yield on Price” due to changes in interest rates. For instance, NLY-F already has a floating rate. However, the rate is only reset once per three months. The stripped yield is calculated using the upcoming projected dividend payment and the “Floating Yield on Price” is based on where the dividend would be if the rate reset today. In my opinion, for these shares the “Floating Yield on Price” is clearly the more important metric.      The REIT Forum The REIT Forum The REIT Forum   The REIT Forum The REIT Forum The REIT Forum   The REIT Forum The REIT Forum The REIT Forum   Click to enlarge  Note: Shares that are classified as “Other” are not necessarily the same. For the purpose of these charts, I lumped all of them together as “Other.” Now there are only two left, PMT-A and PMT-B. Those both have the same issue. Management claims the shares will be fixed-rate, even though the prospectus says they should be fixed-to-floating. Preferred Share Data Beyond the charts, we’re also providing our readers with access to several other metrics for the preferred shares. After testing out a series on preferred shares, we decided to try merging it into the series on common shares. After all, we're still talking about positions in mortgage REITs. We don’t have any desire to cover preferred shares without cumulative dividends, so any preferred shares you see in our column will have cumulative dividends. You can verify that by using Quantum Online. We’ve included the links in the table below. To better organize the table, we needed to abbreviate column names as follows:  Price = Recent Share Price - Shown in Charts S-Yield = Stripped Yield - Shown in Charts Coupon = Initial Fixed-Rate Coupon FYoP = Floating Yield on Price - Shown in Charts NCD = Next Call Date (the soonest shares could be called) Note: For all FTF issues, the floating rate would start on NCD. WCC = Worst Cash to Call (lowest net cash return possible from a call) QO Link = Link to Quantum Online Page    Ticker Price S-Yield Coupon FYoP NCD WCC QO Link P-Link   GAINN $24.18 7.05% 5.00% 7.05% 8/18/2024 $0.87 GAINN Prospectus   GAINL $25.55 7.48% 8.00% 7.48% 8/1/2025 $1.44 GAINL Prospectus   GAINZ $22.97 7.22% 4.88% 7.22% 8/18/2024 $2.08 GAINZ Prospectus   RCC $24.10 8.32% 5.75% 8.32% 8/18/2024 $0.96 RCC Prospectus   RCB $24.01 8.50% 6.20% 8.50% 8/18/2024 $1.06 RCB Prospectus   PMTU $25.43 8.38% 8.50% 8.38% 9/30/2025 $2.22 PMTU Prospectus   MFAN $25.39 9.40% 8.88% 9.40% 2/15/2026 $3.51 MFAN Prospectus   MFAO $25.64 9.23% 9.00% 9.23% 8/15/2026 $4.51 MFAO Prospectus   CIMN $25.30 9.41% 9.00% 9.41% 5/15/2026 $4.07 CIMN Prospectus   MITN $25.38 9.87% 9.50% 9.87% 2/15/2026 $3.80 MITN Prospectus   MITP $25.30 9.97% 9.50% 9.97% 5/15/2026 $4.46 MITP Prospectus   Click to enlarge Second batch:      Ticker Price S-Yield Coupon FYoP NCD WCC QO Link P-Link   NLY-F $25.56 10.46% 10.56% 10.44% 8/18/2024 -$0.23 NLY-F Prospectus   NLY-G $25.39 9.70% 9.74% 9.68% 8/18/2024 -$0.08 NLY-G Prospectus   NLY-I $25.76 10.38% 10.55% 10.36% 8/18/2024 -$0.43 NLY-I Prospectus   RC-E $18.38 8.89% 6.50% 8.89% 6/10/2026 $9.66 RC-E Prospectus   DX-C $24.91 6.95% 6.90% 11.08% 4/15/2025 $1.37 DX-C Prospectus   AGNCN $25.65 10.48% 10.70% 10.44% 8/18/2024 -$0.43 AGNCN Prospectus   AGNCM $25.10 9.93% 9.92% 9.88% 8/18/2024 $0.10 AGNCM Prospectus   AGNCO $24.90 6.55% 6.50% 10.61% 10/15/2024 $0.49 AGNCO Prospectus   AGNCP $24.21 6.34% 6.13% 10.61% 4/15/2025 $1.92 AGNCP Prospectus   AGNCL $24.12 8.07% 7.75% 8.80% 10/15/2027 $7.16 AGNCL Prospectus   ARR-C $20.98 8.35% 7.00% 8.35% 1/28/2025 $4.89 ARR-C Prospectus   FBRT-E $21.75 8.66% 7.50% 8.66% 8/18/2024 $3.42 FBRT-E Prospectus   EFC-E $25.32 11.18% 11.22% 11.17% 8/18/2024 $0.04 EFC-E Prospectus   EFC-A $24.70 6.86% 6.75% 10.91% 10/30/2024 $0.72 EFC-A Prospectus   EFC-B $21.74 7.22% 6.25% 10.46% 1/30/2027 $7.16 EFC-B Prospectus   EFC-C $24.65 8.79% 8.63% 9.38% 04/30/2028 $8.43 EFC-C Prospectus   EFC-D $22.01 8.00% 7.00% 8.00% 08/18/2024 $3.21 EFC-D Prospectus   RITM-A $25.11 7.47% 7.50% 11.30% 08/18/2024 -$0.11 RITM-A Prospectus   RITM-B $25.00 7.13% 7.13% 11.19% 8/18/2024 $0.00 RITM-B Prospectus   RITM-C $23.82 6.70% 6.38% 11.04% 2/15/2025 $1.97 RITM-C Prospectus   RITM-D $23.15 7.57% 7.00% 11.12% 11/15/2026 $5.78 RITM-D Prospectus   Click to enlarge  Third batch:      Ticker Price S-Yield Coupon FYoP NCD WCC QO Link P-Link   PMT-A $24.14 8.51% 8.13% 11.92% 8/18/2024 $1.22 PMT-A Prospectus   PMT-B $24.00 8.43% 8.00% 12.15% 8/18/2024 $1.35 PMT-B Prospectus   PMT-C $19.45 8.78% 6.75% 8.78% 8/24/2026 $9.25 PMT-C Prospectus   TWO-C $24.15 7.52% 7.25% 10.94% 1/27/2025 $1.75 TWO-C Prospectus   TWO-A $23.84 8.53% 8.13% 11.77% 4/27/2027 $6.74 TWO-A Prospectus   TWO-B $23.03 8.29% 7.63% 11.85% 7/27/2027 $7.68 TWO-B Prospectus   MFA-C $23.75 6.90% 6.50% 11.56% 3/31/2025 $2.48 MFA-C Prospectus   MFA-B $21.65 8.75% 7.50% 8.75% 8/18/2024 $3.61 MFA-B Prospectus   CIM-B $24.86 11.58% 11.35% 11.57% 8/18/2024 $0.50 CIM-B Prospectus   CIM-D $24.60 11.28% 10.94% 11.26% 8/18/2024 $0.75 CIM-D Prospectus   CIM-C $22.50 8.71% 7.75% 11.56% 9/30/2025 $4.91 CIM-C Prospectus   CIM-A $22.65 8.93% 8.00% 8.93% 8/18/2024 $2.60 CIM-A Prospectus   IVR-B $24.53 7.98% 7.75% 11.04% 12/27/2024 $1.44 IVR-B Prospectus   IVR-C $23.14 8.18% 7.50% 11.82% 9/27/2027 $7.96 IVR-C Prospectus   NYMTM $24.01 8.23% 7.88% 12.52% 1/15/2025 $1.97 NYMTM Prospectus   NYMTL $20.41 8.46% 6.88% 14.04% 10/15/2026 $8.45 NYMTL Prospectus   NYMTN $21.36 9.41% 8.00% 13.22% 10/15/2027 $10.13 NYMTN Prospectus   NYMTZ $19.31 9.10% 7.00% 9.10% 1/15/2027 $10.06 NYMTZ Prospectus   GPMT-A $16.35 10.76% 7.00% 17.08% 11/30/2026 $12.79 GPMT-A Prospectus   CHMI-B $25.14 11.23% 11.22% 11.18% 8/18/2024 $0.11 CHMI-B Prospectus   CHMI-A $23.95 8.60% 8.20% 8.60% 8/18/2024 $1.24 CHMI-A Prospectus   MITT-C $24.45 8.27% 8.00% 12.43% 9/17/2024 $1.05 MITT-C Prospectus   MITT-A $21.50 9.72% 8.25% 9.72% 8/18/2024 $3.84 MITT-A Prospectus   MITT-B $20.50 9.89% 8.00% 9.89% 8/18/2024 $4.83 MITT-B Prospectus   ACR-C $24.78 $0.09 $0.09 $0.12 8/18/2024 $0.33 ACR-C Prospectus   ACR-D $21.95 $0.09 $0.08 $0.09 5/21/2026 $6.60 ACR-D Prospectus   Click to enlarge  Strategy Our goal is to maximize total returns. We achieve those most effectively by including “trading” strategies. We regularly trade positions in the mortgage REIT common shares and BDCs because:  Prices are inefficient. Long term, share prices generally revolve around book value. Short term, price-to-book ratios can deviate materially. Book value isn’t the only step in analysis, but it's the cornerstone.   We also allocate to preferred shares and equity REITs. We encourage buy-and-hold investors to consider using more preferred shares and equity REITs.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.26.3","shortVersion":"4.26.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2453205009"}