Overview
- TickerDX on NYSE2
- IndustryReal Estate Investment Trusts2
- HeadquartersGlen Allen, United States2
- Incorporated inVA3
- Business address140 Eastshore Drive, Ste 100, Glen Allen, Va 230593
- Filer categoryLarge accelerated filer3
- Legal formStock Corporation2
- LEI5CIJ4S9HAEBWILA19B652
- StatusActive2
- LEI statusIssued and current2
- Registered addressC/O SETH A. WINTER, 23219-3944 Richmond, United States2
- Registered withState Corporation Commission, 031405062
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Dynex Capital, Inc. is a real estate investment trust (“REIT”) structured to deliver dividends to shareholders supported by long term returns from investments in mortgage assets backed by U.S. housing and commercial real estate. Our common and preferred stocks trade on the New York Stock Exchange (“NYSE”) under the ticker symbols “DX” and “DXPRC”, respectively.4 From its latest annual report
Financials
From the company’s reports to the SEC. Every number links to the filing it came from.
Financial statements
| Fiscal year | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|---|---|---|
| Operating expenses | $25.4M7 | $33.8M8 | $32.9M9 | $36.5M9 | $53.0M9 | |||
| Interest | $114.1M5 | $32.6M6 | $5.7M7 | $43.6M7 | $215.4M7 | |||
| Net income | -$152.7M5 | $177.5M6 | $102.3M7 | $143.2M8 | -$6.1M9 | $113.9M9 | $319.1M9 | |
| Earnings per share | -$7.015 | $6.936 | $2.797 | $3.198 | -$0.259 | $1.509 | $2.499 | |
| Earnings per share (diluted) | -$7.015 | $6.936 | $2.787 | $3.178 | -$0.259 | $1.499 | $2.479 | |
| Shares (weighted, basic) | 32.6M shares7 | 42.5M shares8 | 54.8M shares9 | 70.8M shares9 | 124.1M shares9 | |||
| Shares (weighted, diluted) | 32.8M shares7 | 42.7M shares8 | 54.8M shares9 | 71.3M shares9 | 125.1M shares9 |
| Fiscal year | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|---|---|---|
| Cash | $62.6M12 | $295.6M5 | $366.0M6 | $332.0M7 | $119.6M8 | $377.1M9 | $531.0M9 | |
| Total assets | $5.4B12 | $3.1B5 | $3.6B6 | $3.6B7 | $6.4B8 | $8.2B9 | $17.3B9 | |
| Long-term debt | ||||||||
| Total liabilities | $4.8B12 | $2.5B5 | $2.9B6 | $2.7B7 | $5.5B8 | $7.0B9 | $14.9B9 | |
| Retained earnings | -$451.5M6 | -$383.2M7 | -$483.6M8 | -$493.7M9 | -$441.9M9 | |||
| Shareholders’ equity | $583.0M6 | $633.5M7 | $771.3M8 | $901.3M9 | $870.7M9 | $1.2B9 | $2.5B9 | |
| Shares outstanding | 22.9M shares12 | 23.7M shares5 | 36.7M shares6 | 53.6M shares7 | 57.0M shares8 | 84.5M shares9 | 174.8M shares9 | 202.0M shares9 |
Cash flow is reported year to date, not quarter by quarter, so there are no separate quarterly figures.
| Fiscal year | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|---|---|---|
| Cash from operations | $175.3M5 | $174.0M6 | $147.0M7 | $126.4M8 | $62.2M9 | $14.4M9 | $120.8M9 | |
| Stock-based compensation | $2.5M7 | $4.4M8 | $4.8M9 | $7.2M9 | $12.6M9 | |||
| Cash from investing | -$555.4M7 | -$65.4M8 | -$3.0B9 | -$1.0B9 | -$8.1B9 | |||
| Dividends paid | $68.0M5 | $52.4M6 | $58.9M7 | $72.4M8 | $93.0M9 | $117.8M9 | $246.6M9 | |
| Share buybacks | $25.0M5 | $372.0K6 | $06 | $06 | ||||
| Cash from financing | $520.0M7 | -$32.3M8 | $2.7B9 | $1.4B9 | $8.3B9 | |||
| Dividend per share | $1.666 | $1.566 | $1.566 | $1.608 | $2.009 |
Corporate structure
DYNEX CAPITAL INC sits at the top of its group. 2 entities, 1 country on record. Switch between the flow chart and the network, and select any entity to see its details.
Major holders of DYNEX CAPITAL INC
- BlackRock Filed SCHEDULE 13G/A on DYNEX CAPITAL INC, latest Apr 27, 2026 (7 filings since Feb 1, 2022)
- VANGUARD GROUP INC Filed SCHEDULE 13G/A on DYNEX CAPITAL INC, latest Mar 26, 2026 (4 filings since Feb 13, 2024)
- DYNEX CAPITAL INC Glen Allen, Virginia, United States
- ISSUED HOLDINGS CAPITAL CORPORATION Subsidiary · Glen Allen, Virginia, United States
Built from parent and subsidiary links from GLEIF, the Global Legal Entity Identifier Foundation (CC0); major holders from Schedules 13D and 13G. Each entity in the chart links to its source.
What it owns
What DYNEX CAPITAL INC reports owning in its annual reports to the SEC: buildings, land and equipment, real estate and locations, investments, intangible assets and inventory, at the end of its latest fiscal year and a year before.
Investments
| Item | Latest | A year before | Change |
|---|---|---|---|
| Cash and cash equivalents | $531.0M9 Dec 31, 2025 | $377.1M9 Dec 31, 2024 | +40.8% |
| Debt securities available for sale | $734.4M9 Dec 31, 2025 | $836.5M9 Dec 31, 2024 | −12.2% |
Properties, in its own words
The Company does not own or lease any physical properties that are material to its business, financial condition, or results of operations.
Item 2 of the 10-K filed Feb 25, 2026.4
Leadership
Who has led DYNEX CAPITAL INC, and when. Pick a name to see everywhere that person has worked.
Chief financial officer
Chief operating officer
- Chief executive officerSmriti Laxman Popenoe Sep 10, 2024 to now13
- Chief executive officerByron L. Boston Jan 23, 2014 to Sep 10, 202414
- Chief executive officerThomas B. Akin Mar 5, 2008 to May 10, 201315
- ChairByron L. Boston Mar 1, 2024 to now16
- ChairThomas B. Akin Mar 5, 2008 to Apr 2, 201515
- PresidentSmriti Laxman Popenoe Feb 17, 2021 to now17
- PresidentByron L. Boston Mar 5, 2012 to May 18, 202018
- Chief financial officerMichael Andrew Sartori Mar 12, 2026 to now19
- Chief financial officerRobert S. Colligan Aug 9, 2022 to Mar 12, 202620
- Chief financial officerStephen J. Benedetti Mar 19, 2010 to May 31, 202221
- Chief operating officerRobert S. Colligan Mar 4, 2025 to now22
- Chief operating officerStephen J. Benedetti Feb 10, 2006 to May 31, 202223
Board members and other officers (23)
- Chief Investment OfficerTerrence John Connelly Jr. May 26, 2026 to now24
- EVP and Co-CIOSmriti Laxman Popenoe Jan 3, 2014 to May 18, 202025
- ControllerJeffrey L. Childress Mar 31, 2010 to now26
- Chief Investment OfficerByron L. Boston Apr 6, 2010 to Sep 9, 201127
- Board memberDouglas E. Neal Jun 30, 2026 to now28
- Board memberSmriti Laxman Popenoe Mar 1, 2024 to now29
- Board memberAlexander I. Crawford Mar 18, 2024 to now30
- Board memberMarie A. Chandoha Jun 5, 2024 to now31
- Board memberJoy D. Palmer Nov 6, 2020 to now32
- Board memberJulia Lynn Coronado Nov 6, 2020 to now33
- Board memberDavid H. Stevens Jan 11, 2019 to May 22, 202334
- Board memberByron L. Boston Mar 19, 2013 to Feb 26, 202435
- Board memberRobert A. Salcetti Dec 20, 2013 to Mar 13, 202436
- Board memberValerie Mosley Dec 24, 2013 to Jun 16, 202037
- Board memberMichael R. Hughes Nov 15, 2010 to Mar 13, 202438
- Board memberJay Buck May 20, 2008 to May 20, 200839
- Board memberJames C. Wheat Iii. Aug 25, 2008 to May 23, 201640
- Board memberBarry Igdaloff Mar 7, 2006 to Jun 16, 202041
- Board memberDaniel K. Osborne Mar 7, 2006 to May 15, 201342
- Board memberDer Porten Eric P. Von Mar 7, 2006 to Jun 1, 200743
- Board memberLeon A. Felman Mar 7, 2006 to Oct 19, 201044
- Board memberThomas B. Akin Mar 7, 2006 to Dec 15, 201645
- Board memberJ. Sidney Davenport Jun 20, 2006 to Jun 20, 200646
Former names
- RESOURCE MORTGAGE CAPITAL INC/VAJan 28, 1994 to Mar 17, 19973
Timeline
- Sep 29, 20268-K Change to shareholders' rights; Bylaws or fiscal year changed; Other events47
- Sep 25, 20268-K Entered a material agreement; Regulation FD disclosure48
- Jul 28, 20268-K Entered a material agreement49
- Jul 20, 20268-K Results of operations50
- Jun 16, 20268-K Executive or director change51
- May 22, 20268-K Executive or director change; Bylaws or fiscal year changed; Shareholder vote52
- Apr 28, 20268-K Entered a material agreement53
- Apr 21, 20268-K Other events54
- Apr 20, 20268-K Results of operations55
- Feb 27, 20268-K Executive or director change; Regulation FD disclosure56
- Jan 27, 20268-K Entered a material agreement57
- Jan 26, 20268-K Results of operations; Executive or director change58
- Sep 10, 2024New chief executive Smriti Laxman Popenoe becomes CEO13
- Jan 23, 2014New chief executive Byron L. Boston becomes CEO14
- Mar 5, 2008New chief executive Thomas B. Akin becomes CEO15
- Dec 18, 1987Founded DYNEX CAPITAL INC is founded2
Calendar
When it reported results
- Jul 20, 2026Reported quarterly or annual results50
- Apr 20, 2026Reported quarterly or annual results55
- Jan 26, 2026Reported quarterly or annual results58
- Oct 20, 2025Reported quarterly or annual results59
- Jul 21, 2025Reported quarterly or annual results60
- Apr 21, 2025Reported quarterly or annual results61
- Jan 27, 2025Reported quarterly or annual results62
- Oct 21, 2024Reported quarterly or annual results63
Upcoming dates from Nasdaq's calendar; past results from the company's 8-K filings (Item 2.02). The full markets calendar
Filings
250 filings to the SEC since October 2021: 5 annual reports, 15 quarterly reports, 53 major events, 115 insider forms, 11 large holders, 51 other. The latest 20:
- Sep 29, 2026CERT NYSE CERTIFICATION EDGAR
- Sep 29, 20268-K EDGAR
- Sep 29, 20268-A12B EDGAR
- Sep 28, 20264 EDGAR
- Sep 25, 20268-K EDGAR
- Sep 23, 2026424B5 EDGAR
- Sep 22, 2026FWP EDGAR
- Sep 22, 2026424B5 EDGAR
- Sep 10, 20264 EDGAR
- Sep 10, 20264 EDGAR
- Jul 28, 20268-K EDGAR
- Jul 28, 2026424B5 EDGAR
- Jul 27, 202610-Q EDGAR
- Jul 20, 20268-K EDGAR
- Jun 30, 20264 EDGAR
- Jun 30, 20263 EDGAR
- Jun 16, 20268-K EDGAR
- May 26, 20264 EDGAR
- May 26, 20264 EDGAR
- May 26, 20264 EDGAR
The 250 filings since October 2021 can be filtered by form type and year here when JavaScript is on.
Every filing from the last five years, summarized. The full record is on SEC EDGAR.
Insider trades
16 open-market trades by officers, directors and large owners since October 2021: 16 buys and 0 sales. Grants, option exercises and gifts are left out.
| Date | Who | Trade | Shares | Price | Value | Filing |
|---|---|---|---|---|---|---|
| Sep 25, 2026 | Connelly Terrence John JRChief Investment Officer | Buy | 2,500 | $11.18 | $27.9K | Form 4 |
| Feb 27, 2026 | Popenoe Smriti LaxmanCo-CEO and President | Buy | 2,000 | $12.19 | $24.4K | Form 4 |
| Sep 26, 2025 | Popenoe Smriti LaxmanCo-CEO and President | Buy | 4,260 | $12.16 | $51.8K | Form 4 |
| Sep 26, 2025 | COLLIGAN ROBERT SCFO and COO | Buy | 4,200 | $12.12 | $50.9K | Form 4 |
| Mar 14, 2023 | COLLIGAN ROBERT SCFO and COO | Buy | 8,000 | $12.16 | $97.3K | Form 4 |
| Oct 26, 2022 | BOSTON BYRON LCo-CEO & Chairman of the Board | Buy | 2,500 | $11.61 | $29.0K | Form 4 |
| Oct 25, 2022 | BOSTON BYRON LCo-CEO & Chairman of the Board | Buy | 12,000 | $10.92 | $131.0K | Form 4 |
| Sep 2, 2022 | Popenoe Smriti LaxmanCo-CEO and President | Buy | 2,000 | $15.50 | $31.0K | Form 4 |
| Sep 1, 2022 | Popenoe Smriti LaxmanCo-CEO and President | Buy | 325 | $15.27 | $5.0K | Form 4 |
| Aug 23, 2022 | COLLIGAN ROBERT SCFO and COO | Buy | 10,000 | $15.84 | $158.4K | Form 4 |
| Aug 22, 2022 | BOSTON BYRON LCo-CEO & Chairman of the Board | Buy | 1,928 | $15.54 | $30.0K | Form 4 |
| Jun 13, 2022 | BOSTON BYRON LCo-CEO & Chairman of the Board | Buy | 6,562 | $15.25 | $100.1K | Form 4 |
| May 17, 2022 | BOSTON BYRON LCo-CEO & Chairman of the Board | Buy | 1,167 | $16.27 | $19.0K | Form 4 |
| May 13, 2022 | BOSTON BYRON LCo-CEO & Chairman of the Board | Buy | 2,000 | $16.00 | $32.0K | Form 4 |
| Feb 24, 2022 | Childress Jeffrey LSVP, Chief Accounting Officer | Buy | 100 | $24.75 | $2.5K | Form 4 |
| Feb 4, 2022 | BOSTON BYRON LCo-CEO & Chairman of the Board | Buy | 12,600 | $15.98 | $201.3K | Form 4 |
From Forms 4 filed with the SEC.
Major holders
Investors who own more than 5% of the shares must tell the SEC: a 13D if they may seek to influence the company, a 13G if they hold passively.
- BlackRockSCHEDULE 13G/A, 7 filings Feb 1, 2022 to Apr 27, 202664
- VANGUARD GROUP INCSCHEDULE 13G/A, 4 filings Feb 13, 2024 to Mar 26, 202665
Executive pay
What the company paid its top executives, from the summary compensation table in its proxy statement. Total pay includes salary, bonus, stock and option awards and other pay, as the company valued them.
| Year | Executive | Age | Salary | Total pay |
|---|---|---|---|---|
| 2025 | Byron L. BostonCo-Chief Executive Officer and Chairman of the Board | $900.0K | $7.8M66 | |
| 2025 | Smriti L. PopenoeCo-Chief Executive Officer and President | $900.0K | $7.7M66 | |
| 2025 | Robert S. Colligan Senior Advisor to the Co-CEOs (former Chief Financial Officer) | $560.0K | $3.7M66 | |
| 2024 | Byron L. BostonCo-Chief Executive Officer and Chairman of the Board | $900.0K | $7.2M66 | |
| 2024 | Smriti L. PopenoeCo-Chief Executive Officer and President | $844.3K | $6.2M66 | |
| 2024 | Robert S. Colligan Senior Advisor to the Co-CEOs (former Chief Financial Officer) | $526.6K | $3.4M66 | |
| 2023 | Byron L. BostonCo-Chief Executive Officer and Chairman of the Board | $850.0K | $6.1M66 | |
| 2023 | Smriti L. PopenoeCo-Chief Executive Officer and President | $750.0K | $5.5M66 | |
| 2023 | Robert S. Colligan Senior Advisor to the Co-CEOs (former Chief Financial Officer) | $500.0K | $2.1M66 |
Held by these funds
The largest holders among investment managers' 13F reports for the quarter ending Jun 30, 2026, the top 25 of 100. Change is in shares since the quarter before.
| Fund | Shares | Value | Share of the fund | Change |
|---|---|---|---|---|
| BlackRock, Inc. | 18,437,985 | $241.7M | 0.0% | +2,355,906 |
| Vanguard Capital Management LLC | 9,145,837 | $119.9M | 0.0% | +632,153 |
| Millennium Management LLC | 7,016,976 | $92.0M | 0.1% | +4,262,649 |
| Marshall Wace, Llp | 6,413,930 | $84.1M | 0.1% | +6,201,462 |
| Geode Capital Management, LLC | 5,566,081 | $73.0M | 0.0% | +824,639 |
| State Street Corp | 5,113,743 | $67.9M | 0.0% | +579,022 |
| Ameriprise Financial Inc | 3,347,364 | $43.9M | 0.0% | +1,401,864 |
| Two Sigma Investments, LP | 2,965,239 | $38.9M | 0.0% | +1,015,561 |
| Northern Trust Corp | 2,320,658 | $30.4M | 0.0% | +536,787 |
| Wellington Management Group Llp | 2,221,800 | $29.1M | 0.0% | +1,307,100 |
| Royal Bank Of Canada | 2,153,884 | $28.2M | 0.0% | +622,781 |
| MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. | 2,132,490 | $28.0M | 0.0% | +72,105 |
| Victory Capital Management Inc | 2,125,257 | $27.9M | 0.0% | −474,341 |
| Vanguard Portfolio Management LLC | 1,810,563 | $23.7M | 0.0% | +410,722 |
| Qube Research & Technologies Ltd | 1,800,280 | $23.6M | 0.0% | −1,908,113 |
| Charles Schwab Investment Management Inc | 1,795,250 | $23.5M | 0.0% | +147,356 |
| Callodine Capital Management, LP | 1,642,300 | $21.5M | 1.4% | −28,554 |
| Segall Bryant & Hamill, LLC | 1,637,513 | $21.5M | 0.3% | +102,917 |
| Invesco Ltd. | 1,501,658 | $19.7M | 0.0% | +209,715 |
| Van Eck Associates Corp | 1,485,109 | $19.5M | 0.0% | −31,235 |
| Fmr LLC | 1,436,183 | $18.8M | 0.0% | +230,077 |
| Vanguard Fiduciary Trust Co | 1,426,325 | $18.7M | 0.0% | +145,827 |
| UBS Group AG | 1,397,927 | $18.3M | 0.0% | +317,114 |
| Morgan Stanley | 1,281,047 | $16.8M | 0.0% | −34,994 |
| Balyasny Asset Management L.P. | 1,220,139 | $16.0M | 0.0% | −1,219,509 |
13F reports cover disclosed long positions in U.S. stocks only.
SEC filer profile
How DYNEX CAPITAL INC is registered with the Securities and Exchange Commission, from its EDGAR record and the cover page of its latest annual report.
- Name on EDGARDYNEX CAPITAL INC1
- CIK0000826675
- Employer ID (EIN)52-15493734
- Filer statusLarge accelerated filer not an emerging growth company; not a smaller reporting company; not a shell company4
- Incorporated inVirginia4
- Fiscal year endsDecember 311
- Industry code (SIC)6798 Real Estate Investment Trusts1
- SEC reviewing officeOffice of Real Estate & Construction, Division of Corporation Finance1
- Business address140 Eastshore Drive, Ste 100, Glen Allen, VA 230591
- Phone80421758001
- Shares outstanding247,429,551 as of Jul 24, 202611
- Public float$1.5B as of Jun 30, 20254
- AuditorErnst & Young, LLP, Richmond, Virginia PCAOB ID 42; it also attests to the company’s internal control over financial reporting4
- On EDGAR sinceJan 28, 19941
- Filings1,428 in all: 4 (496), 8-K (279), 10-Q (98), SC 13D/A (42), 424B5 (38), DEF 14A (34), 424B2 (33), DEFA14A (32)1
All 67 form types
SC 13G/A (32), 10-K (31), SC 13G (22), 3 (19), SC TO-I/A (17), UPLOAD (17), ARS (16), CORRESP (15), 11-K (13), 4/A (13), S-3 (11), 8-K/A (9), EFFECT (9), PRE 14A (9), S-3/A (9), 10-Q/A (8), NT 10-Q (8), SC 13D (8), 10-K/A (7), 424B3 (7), 8-A12B (7), S-8 (7), SC TO-I (6), 5 (5), SCHEDULE 13G/A (5), 8-A12G (4), FWP (4), NT 10-K (4), SC TO-C (4), 25-NSE (3), POS AM (3), PREM14C (3), PRER14A (3), 10-K405 (2), 11-K/A (2), 144 (2), 15-12G (2), 8-A12G/A (2), CERT (2), CERTNYS (2), DEFS14A (2), NO ACT (2), PRES14A (2), T-3 (2), T-3/A (2), 15-15D (1), 25 (1), 5/A (1), 8-A12B/A (1), CERTAMX (1), CERTNAS (1), DFAN14A (1), NT 11-K (1), PREC14A (1), S-3ASR (1), S-3D (1), S-3MEF (1), S-8 POS (1), SCHEDULE 13G (1)
- Latest filingsAnnual report (10-K) Feb 25, 2026
Quarterly report (10-Q) Jul 27, 2026
Proxy statement (DEF 14A) Apr 7, 2026
Latest 8-K (8-K) Sep 29, 2026
Securities registered for trading
| Class | Symbol | Exchange |
|---|---|---|
| Common Stock, par value $0.01 per share | DX | New York Stock Exchange |
| 6.900% Series C Fixed-to-Floating Rate Cumulative Redeemable Preferred Stock, par value $0.01 per share | DXPRC | New York Stock Exchange |
From the cover page of the 10-K filed Feb 25, 2026 (Section 12(b) of the Exchange Act).4
Risk factors and legal proceedings
The risks DYNEX CAPITAL INC names in Item 1A of its 10-K filed Feb 25, 2026: 36 risks under these headings, as written.4
- RISKS RELATED TO OUR INVESTMENT ACTIVITIES
- Changes in market spreads may negatively impact the market value and profitability of our investment portfolio.
- Interest rate fluctuations could negatively impact our financing costs, the market value of our investments, dividends, liquidity, and the market price of our stock.
- Volatile market conditions for mortgages and mortgage-related assets as well as the broader financial markets can result in a significant contraction in liquidity for mortgages and mortgage-related assets, which may adversely affect the pricing reliability and value of our investments.
- Changes in the Federal Reserve, government agency, or other government related entity participation in the Agency mortgage market may impact the market value and return on our investments.
- Changes in prepayment rates on the mortgage loans underlying our investments may subject us to reinvestment risk and adversely affect our interest income, the market value of our investments, and our liquidity.
- We may be subject to risks associated with inadequate or untimely services from third-party loan servicers, which may negatively impact our results of operations. We also rely on corporate trustees to act on behalf of us and other holders of securities in enforcing our rights.
- We invest in securities guaranteed by Fannie Mae and Freddie Mac, which are currently under conservatorship by the Federal Housing Finance Agency (“FHFA”). Potential changes to the federal conservatorship of Fannie Mae and Freddie Mac or to the laws and regulations affecting the support that the GSEs receive from the U.S. government may adversely affect the availability, pricing, liquidity, market value, and financing of our assets.
- It could be uneconomical to roll our TBA contracts or we may be unable to meet margin calls on our TBA contracts, which would have a negative impact on our liquidity.
- Provisions requiring yield maintenance charges, prepayment penalties, defeasance, or lockouts in CMBS IO securities may not be enforceable.
- Credit ratings assigned to debt securities by credit rating agencies may not accurately reflect the risks associated with those securities. Changes in credit ratings for securities we own or for similar securities might negatively impact the market value of these securities.
- RISKS RELATED TO LEVERAGE, FINANCING AND HEDGING ACTIVITIES
The other 26 risks
- Our use of leverage, primarily through repurchase agreements, to enhance shareholder returns increases the risk of volatility in our results and could lead to material decreases in comprehensive income, shareholders’ equity, dividends, and liquidity.
- Our repurchase agreements and agreements governing certain derivative instruments may contain financial and nonfinancial covenants. Our inability to meet these covenants could adversely affect our financial condition, results of operations, and cash flows.
- Our use of hedging strategies to mitigate our interest rate risk may not be effective and may adversely affect our net income, liquidity, and book value per common share.
- Clearing facilities or exchanges may increase the margin requirements we are required to post when entering into derivative instruments, which may negatively impact our ability to hedge and our liquidity.
- We may incur significant losses if we, or one or more of our third-party lenders, default on a repurchase agreement or file for bankruptcy.
- The models we use to make purchases and risk management decisions for our portfolio may be inaccurate or incomplete, which could materially and adversely affect our cash flows.
- RISKS RELATED TO OUR QUALIFICATION AS A REIT AND TAX-RELATED OR OTHER REGULATORY MATTERS
- If we fail to conduct our operations properly, we may not qualify for exemption under the 1940 Act, which may reduce our flexibility and limit our ability to pursue certain opportunities.
- To meet our REIT distribution requirements, we may be forced to increase our dividend distributions which could cause us to liquidate attractive assets or incur debt on unfavorable terms. If we are unable to generate the required cash for a cash dividend distribution, we may be forced to declare a dividend that is payable, at least in part, in the form of stock, in which case shareholders may be required to pay income taxes in excess of the cash dividends received.
- We have not established a minimum dividend payment level, and we may not have the ability to pay dividends in the future. Furthermore, our monthly dividend strategy could attract shareholders who are especially sensitive to the level and frequency of the dividend. If we were to reduce the dividend or change to a quarterly payment cycle, our share price could materially decline.
- Qualifying as a REIT involves highly technical and complex provisions of the Tax Code, and a technical or inadvertent violation could jeopardize our REIT qualification. Maintaining our REIT status may reduce our flexibility to manage our operations.
- We may be subject to adverse legislative or regulatory tax changes that could increase our tax liability, reduce our operating flexibility, or reduce the market price of our securities.
- If we do not qualify as a REIT or fail to remain qualified as a REIT, we may be subject to tax as a regular corporation and could face a tax liability, which would reduce the amount of cash available for distribution to our shareholders. We would also violate debt covenants in certain repurchase and derivative agreements which may put us in default on these agreements.
- Dividends payable by REITs do not qualify for the reduced tax rates available for some dividends.
- Uncertainty exists with respect to the treatment of our TBAs for purposes of the REIT asset and income tests.
- Our ability to qualify as a REIT could be adversely affected if the IRS disagrees with our treatment of repurchase agreement transactions as financing of the investments we pledge as collateral.
- Even if we remain qualified as a REIT, we may face other tax liabilities that reduce our cash flow and our profitability.
- The stock ownership limit imposed by the Tax Code for REITs and our Restated Articles of Incorporation (“Articles of Incorporation”) may restrict our business combination opportunities. The stock ownership limitation may also result in reduced liquidity of our stock and may result in losses to an acquiring shareholder.
- The stock ownership limit imposed by the Tax Code for REITs and our Articles of Incorporation may impair the ability of holders to convert shares of our outstanding preferred stock into shares of our common stock upon a change of control.
- If we experience an ownership change as defined by the Tax Code for REITs, our ability to utilize our capital loss carryforwards to offset future taxable gains may be significantly limited or eliminated entirely, which could reduce cash available to distribute to our shareholders and adversely affect the market price of our common stock.
- Future issuances of equity securities may dilute your percentage ownership in us and may also negatively affect the market price of our common stock.
- If we are unable to successfully manage risks associated with the significant growth in our business and operations, our financial condition, results of operation, and reputation could be materially and adversely affected.
- We rely on a third-party service provider for critical operational and trade functions and on other third parties for information and communication systems, and problems in the use, access, or performance of these systems, including as a result of any cybersecurity incident, could increase our costs and significantly disrupt our ability to operate our business, which may have a significant adverse impact on our financial condition and results of operations.
- We may change our investment strategy, operating policies, dividend policy, and/or asset allocations without shareholder consent and/or in a manner which shareholders, analysts, and capital markets may not agree with.
- We may be subject to risks associated with our use of data and technology systems, including our evolving use of AI and machine learning technology.
- We are subject to human capital risk.
- Share repurchases of our common stock or Series C Preferred Stock may negatively impact our compliance with covenants in our financing agreements and regulatory requirements (including maintaining exclusions from the requirements of the 1940 Act and qualification as a REIT). Any compliance failures associated with share repurchases could have a material adverse effect on our business, financial condition, and results of operations. Share repurchases also may negatively impact our ability to invest in our target assets in the future.
Legal proceedings
To the Company’s knowledge, there are no pending or threatened legal proceedings, which, in management’s opinion, individually or in total, could have a material adverse effect on the Company’s results of operations or financial condition.
The opening of Item 3, Legal Proceedings.4
Sources
The numbers on this page point here. Each one links to the record it came from.
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- 16SEC EDGARByron L. Boston, Chair
- 17SEC EDGARSmriti Laxman Popenoe, President
- 18SEC EDGARByron L. Boston, President
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- 26SEC EDGARJeffrey L. Childress, Controller
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- 28SEC EDGARDouglas E. Neal, Board member
- 29SEC EDGARSmriti Laxman Popenoe, Board member
- 30SEC EDGARAlexander I. Crawford, Board member
- 31SEC EDGARMarie A. Chandoha, Board member
- 32SEC EDGARJoy D. Palmer, Board member
- 33SEC EDGARJulia Lynn Coronado, Board member
- 34SEC EDGARDavid H. Stevens, Board member
- 35SEC EDGARByron L. Boston, Board member
- 36SEC EDGARRobert A. Salcetti, Board member
- 37SEC EDGARValerie Mosley, Board member
- 38SEC EDGARMichael R. Hughes, Board member
- 39SEC EDGARJay Buck, Board member
- 40SEC EDGARJames C. Wheat Iii., Board member
- 41SEC EDGARBarry Igdaloff, Board member
- 42SEC EDGARDaniel K. Osborne, Board member
- 43SEC EDGARDer Porten Eric P. Von, Board member
- 44SEC EDGARLeon A. Felman, Board member
- 45SEC EDGARThomas B. Akin, Board member
- 46SEC EDGARJ. Sidney Davenport, Board member
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- 49SEC EDGAREntered a material agreement
- 50SEC EDGARResults of operations
- 51SEC EDGARExecutive or director change
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- 53SEC EDGAREntered a material agreement
- 54SEC EDGAROther events
- 55SEC EDGARResults of operations
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- 57SEC EDGAREntered a material agreement
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