The Annaly residential credit group invests in non-agency residential mortgage assets, both in the securitized product and whole loan markets. The group is at the forefront of mortgage finance reform via investments in relatively new products such as government-sponsored enterprise (GSE) Credit Risk Transfer, Jumbo 2.0 Securities, as well as securities backed by non-performing and re-performing loans. We purchase high quality whole loans through a wholly-owned subsidiary, Onslow Bay Financial LLC. We also participate in the legacy residential credit market. Initiated on Annaly’s balance sheet at the beginning of 2015, the residential credit platform has grown to represent $1.1bn of Annaly’s equity dedicated to credit as of March 31, 2017. Annaly’s residential credit investments complement the longer duration fixed-rate agency Mortgage-Backed Securities (MBS) portfolio, as these investments are primarily shorter duration or floating-rate assets.
Please click here to access Annaly’s Residential Credit fact sheet.