What We Do

We believe our management model appeals to investors in search of investment stability and consistent income.  We seek to provide a diversification tool which will generate a more attractive risk-adjusted rate of return than traditional fixed-income alternatives.  We specialize in residential mortgages with a deep knowledge of publicly traded mortgage related companies.

• Similar strategy utilized by financial institutions, including banks and savings & loans
• Capture historically positive spread relationship between the yields on short-duration Agency MBS and short-term financing rates
• Use both equity and borrowed funds to generate income from the interest earned on our investment assets less the costs associated with borrowing and hedging
• Investing in highly liquid and in most cases government guaranteed assets, robust financing capabilities exist
• Modify the mix of leverage and equity funding to achieve the desired risk vs. reward profile

• Achieve durable risk adjusted returns over various interest rate, housing and economic cycles
• Minimize credit risk
• Maximize tax efficiency
• Identify and capitalize on relative value of discrepancies in the RMBS markets
• Actively manage cash flows to provide for opportunistic investing and regular distributions to our Clients
• Conservatively manage financing, interest, and prepayment risks
• Diversify and limit counterparty risk
• Offer uncorrelated returns vs. other asset classes
• Utilize hedging strategies to mitigate the impact that changing interest rates have on our portfolio