IntrinsicIntrinsic
← All summaries

ADAMAS TRUST, INC.

ADAMM
Financials & Chart →

Business Summary

Adamas Trust, Inc. (formerly New York Mortgage Trust, Inc.) is an internally-managed REIT that strategically deploys capital across complementary businesses to generate durable earnings and long-term value for stockholders through disciplined portfolio management and an operating platform designed to capture opportunities across real estate and capital markets. The company's current investment portfolio includes credit-sensitive single-family and multi-family assets, as well as other fixed-income investments such as Agency Residential Mortgage-Backed Securities (RMBS). Through its wholly-owned subsidiary, Constructive Loans, LLC ("Constructive"), Adamas also originates business purpose loans for residential real estate investors . The company operates in two segments: investment portfolio and Constructive, with the investment portfolio generating the substantial portion of revenues and income .

Adamas's core business model revolves around owning and managing a diversified portfolio of primarily mortgage-related single-family residential assets that include elements of credit risk and/or interest rate risk. This strategy involves a leveraged portfolio of Agency investments, primarily Agency fixed-rate RMBS and Agency Adjustable-Rate Mortgages (ARMs), which provide coupon income. The company also focuses on credit assets, many of which are originated or sourced through proprietary channels, including Constructive, targeting attractive total rates of return. Additionally, Adamas owns and manages investments in multi-family and single-family rentals .

The Investment Portfolio segment is substantially comprised of single-family and multi-family residential investments. Single-family investments include Agency RMBS, which are a core component of the strategy, primarily consisting of fixed-rate RMBS and ARMs guaranteed by Fannie Mae or Freddie Mac, and Agency Interest-Only (IOs) securities. The company also acquires residential loans, including short-term business purpose bridge loans, business purpose rental loans, performing residential mortgage loans, seasoned performing/re-performing/non-performing mortgage loans, and second mortgages. Non-Agency RMBS, collateralized by residential credit assets, also form part of this portfolio, consisting of senior, mezzanine, or subordinated tranches. Furthermore, the company participates in the U.S. Department of Housing and Urban Development Housing Choice Vouchers program, owning 471 single-family rental properties as of December 31, 2025 .

Multi-family investments, as of December 31, 2025, consist of credit-oriented investments such as preferred equity investments and a cross-collateralized preferred equity and joint venture equity investment in multi-family properties. These investments generally focus on middle-market multi-family apartment communities in secondary and tertiary markets. The company generally participates as a capital provider alongside experienced property-level operators and does not operate or manage these properties day-to-day. As of December 31, 2025, 100% of its Mezzanine Lending assets were structured as preferred equity investments .

For the year ended December 31, 2025, Adamas Trust, Inc. reported net income attributable to common stockholders of $101.1 million , or $1.12 per basic common share . Total interest income was $601.948 million , with interest expense of $452.647 million , resulting in net interest income of $149.301 million . The company experienced a net loss from real estate of $(12.417) million and other income of $123.859 million . General and administrative expenses totaled $72.656 million , portfolio operating expenses were $28.011 million , loan origination costs were $8.101 million , and financing transaction costs were $14.173 million . As of December 31, 2025, total assets were $12.638847 billion , with repurchase agreements and warehouse facilities totaling $6.753417 billion , collateralized debt obligations of $3.511802 billion , senior unsecured notes of $360.437 million , and mortgages payable on real estate, net, of $332.131 million . The company's stockholders' equity was $1.426922 billion .

Comparing 2025 to 2024, net income attributable to common stockholders significantly improved from a loss of $(103.785) million in 2024 to a gain of $101.106 million in 2025. Interest income increased by $200.668 million , from $401.280 million in 2024 to $601.948 million in 2025, primarily due to increased investments in Agency RMBS and business purpose loans. Interest expense also rose by $135.222 million , from $317.425 million in 2024 to $452.647 million in 2025, mainly due to increased financing for investing activities. Net loss from real estate decreased by $30.424 million , from $(42.841) million in 2024 to $(12.417) million in 2025, reflecting the sale or de-consolidation of multi-family real estate assets. General and administrative expenses increased by $23.984 million to $72.656 million in 2025, primarily due to the consolidation of Constructive. Portfolio operating expenses decreased by $2.677 million to $28.011 million . Loan origination costs, which were zero in 2024, increased to $8.101 million in 2025 due to Constructive's consolidation.

The year ended December 31, 2025, was marked by several significant operational developments. Adamas completed the acquisition of the remaining 50% interest in Constructive on July 15, 2025, resulting in full ownership and consolidation of Constructive's financial results from the third quarter of 2025 . Constructive originated approximately $1.8 billion of loans over the year, including $864.9 million since July 15, 2025 . The company also achieved its highest level of annual investment activity, expanding its investment portfolio by approximately $3.1 billion , or 42% , to $10.5 billion , with total acquisitions of $6.1 billion primarily in Agency RMBS ($4.1 billion ) and business purpose loans ($1.7 billion ). Adamas completed four securitizations of residential loans, totaling approximately $945.5 million in net proceeds , and issued $82.5 million of 9.125% 2030 Senior Notes and $115.0 million of 9.875% 2030 Senior Notes . The company also completed the wind-down of its multi-family joint venture equity investments during the year .

Business Outlook

Adamas Trust, Inc. expects to maintain a disciplined and measured approach to portfolio growth, supported by the integration of Constructive's origination platform and a continued focus on high-quality, income-producing assets. The company believes its current balance sheet, diversified capital sources, and expanded origination capacity position it to capitalize on market opportunities, further scale recurring earnings, and enhance long-term stockholder value .

The company's investment strategy since 2023 has focused on acquiring assets with less price sensitivity to credit deterioration, such as Agency RMBS, and short-duration, higher-coupon investments, like business purpose loans . This repositioning has enhanced the resilience of its earnings profile and strengthened its ability to navigate evolving market conditions . The acquisition of Constructive, a business purpose loan originator operating in 48 states, is expected to support sustained earnings growth over time by expanding the company's presence in the residential credit ecosystem and establishing a scalable origination platform .

In light of current market and financing conditions, Adamas is presently focused on acquiring assets with lower credit exposure, either through agency guarantees, structure, or collateral quality, such as Agency RMBS, and higher quality business purpose loans, including those sourced through Constructive. This approach is intended to position the portfolio to better withstand economic stress and raise interest income levels .

Operationally, the company completed its disposition of the majority of its ownership interests in its joint venture equity investments in multi-family properties during 2025 and does not anticipate making additional joint venture equity investments in multi-family properties that would result in a majority or significant minority common equity ownership in the future. However, it may make common equity investments akin to a "general partner"-like capital contribution in connection with managing third-party multi-family investments . The company also noted that its multi-family exposure was limited to its Mezzanine Lending and cross-collateralized mezzanine lending portfolio as of December 31, 2025, which showed a 25.8% payoff rate during the year and an average occupancy rate of 91% across underlying properties .

Regarding capital allocation, in January 2026, Adamas completed the issuance of $90.0 million of its 9.250% Senior Notes due 2031 in an underwritten public offering, receiving $86.6 million in net proceeds . In February 2026, the company redeemed its 2026 Senior Notes at 100% of the $100.0 million principal amount plus accrued but unpaid interest, for a total payment of $101.5 million . The Board of Directors also approved extensions of its common stock repurchase program, under which $188.2 million remained available for repurchase , and its preferred stock repurchase program, under which $97.6 million remained available for repurchase , both extended from March 31, 2026, to March 31, 2027 .

The company anticipates that due to ongoing uncertainty related to trade policy, the labor market, inflation, and geopolitical instability, markets and the pricing for many of its assets will continue to experience volatility in 2026 . The Federal Reserve's officials' views on additional cuts to the target range for the federal funds rate by the end of 2026 are divided, though a majority indicated one or more cuts would be appropriate . Weakening multi-family housing fundamentals, including increasing apartment supply and declining rents in certain markets, increasing interest rates, widening capitalization rates, and reduced liquidity for multi-family property owners, may cause operating partners to fail to meet obligations and/or contribute to reduced cash flows and valuation declines for multi-family investments .

New legislative, regulatory, or policy changes could significantly impact the business and markets. For example, in January 2026, the president issued an executive order directing executive agencies to identify ways to prevent GSEs from facilitating the acquisition of single-family homes by large institutional investors or selling government-owned homes to them, and to track single-family rental owners receiving federal housing assistance for large institutional investor involvement . Such policies could materially adversely affect the company's investments in single-family rental homes .

Risk Factors

Adamas Trust, Inc. faces material risks including declines in the market values of its investments, which can adversely affect reported results and credit availability, potentially reducing earnings, book value, and liquidity . Interest rate mismatches between interest-earning assets and borrowings may reduce net income or result in losses during periods of changing interest rates . Inaccurate estimates of loss-adjusted yields on credit-sensitive assets could lead to losses . Interest rate increases may decrease the availability of targeted assets and increase interest expense . The investment portfolio may be concentrated in certain asset types or geographic areas, increasing exposure to economic downturns . Changes in prepayment rates can adversely affect asset performance . The portfolio of business purpose loans exposes the company to different risks than traditional residential mortgage loans . Investments in subordinated tranches of RMBS, CMBS, and ABS carry greater risk of loss . The company has experienced and may continue to experience increased volatility in GAAP results due to the fair value option election for most investments . Failure of third-party service providers to perform services could adversely impact business and financial results . Limited due diligence in acquisitions or underwriting may not reveal all risks, leading to material losses . Lack of liquidity in certain assets may adversely affect the business . The use of models for asset valuation subjects the company to risks if models are incorrect or incomplete . Investments in residential loans are difficult to value and depend on borrower's ability to service or refinance debt . Preferred equity investments involve greater risks of loss than senior loans . Real estate and real estate-related assets are subject to risks particular to real property . Competition may prevent asset acquisition on favorable terms . System failures and operational disruptions could significantly disrupt the business . Access to financing may be limited or unfavorable . Repurchase agreements may require additional collateral, reducing liquidity . Leverage can exacerbate losses and reduce cash for distributions . Inability to leverage equity as anticipated could diminish returns . Non-recourse securitizations and recourse structured financings expose the company to risks . Counterparty default on repurchase transactions or company default on repurchase agreements could result in losses . Repurchase agreements may give lenders greater rights in bankruptcy . Negative business impacts may cause default on financial covenants . Hedging against interest rate, credit, and market value changes may adversely affect the business . Volatility in derivatives used for geopolitical and market risks may cause net income volatility . Difficult conditions in mortgage, real estate, and financial markets and the economy generally may cause future losses . Changes in government policies, laws, or regulations or the U.S. political environment could impact the business . Downgrade of U.S. credit ratings or failure to resolve U.S. fiscal and debt policies may adversely affect business . Federal conservatorship of Fannie Mae and Freddie Mac and related efforts may materially adversely affect the business . The company may change investment, financing, or hedging strategies and policies without stockholder consent . Maintenance of Investment Company Act exemption imposes significant operational limits . Accrual of floating-rate dividends on preferred stock could adversely affect cash distributions . Mortgage loan modification programs and future legislative action may adversely affect asset value and returns . The company could be liable for predatory lending law violations . The business is subject to extensive regulation . Certain provisions of Maryland law and the charter/bylaws could hinder a change in control . The stock ownership limit may inhibit market activity and restrict business combination opportunities . Failure to qualify as a REIT would adversely affect operations . REIT distribution requirements could adversely affect liquidity . Dividends payable by REITs do not qualify for reduced tax rates . Complying with REIT requirements may cause the company to forego or liquidate attractive investments . Failure of certain investments subject to repurchase agreements to qualify as real estate assets would adversely affect REIT qualification . The company may incur significant tax liability from selling assets subject to prohibited transactions tax . REIT qualification could be jeopardized by interests in joint ventures or preferred equity . Adverse legislative or regulatory tax changes could reduce common stock market price . Uncertainty exists regarding TBA treatment for REIT asset and income tests . Unforeseen or catastrophic events, including pandemics, terrorist attacks, or natural disasters, could lead to losses . Risks associated with climate change and severe weather could have a material adverse effect . The company is dependent on certain key personnel . Investing in the company's securities involves a high degree of risk . The market price and trading volume of securities may be volatile . There is no minimum dividend payment level for common stockholders and no assurances of future dividends . Future offerings of debt or equity securities may adversely affect the market price of common stock . Interest in the company may be diluted by additional share issuance . An increase in interest rates may adversely affect the market price of securities and ability to make distributions .

Management Priorities

Management's message to shareholders emphasizes a strategic repositioning of the investment portfolio since 2023, aimed at enhancing recurring income through acquiring assets with less price sensitivity to credit deterioration, such as Agency RMBS, and short-duration, higher-coupon investments like business purpose loans. The year ended December 31, 2025, was highlighted as strategically significant, marked by a corporate rebranding, the acquisition of Constructive, earnings growth, and record investment activity. Net income attributable to common stockholders was $101.1 million , or $1.12 per share , with Earnings Available for Distribution (EAD) per common share increasing 141% year-over-year to $0.89 per share . GAAP book value per share increased 3.4% to $9.60 , and adjusted book value per share rose 2.7% to $10.63 , resulting in an economic return of 12.72% and 11.01% on GAAP and adjusted book value per share, respectively. The Board of Directors declared quarterly dividends of $0.23 per share in the third and fourth quarters of 2025, a 15% increase from the first and second quarters. Management's strategic priorities for the period ahead include maintaining a disciplined and measured approach to portfolio growth, supported by the integration of Constructive's origination platform, and a continued focus on high-quality, income-producing assets, believing this will capitalize on market opportunities, scale recurring earnings, and enhance long-term stockholder value .

View Source Annual Report on SEC.gov ↗

References

  1. [1] Item 1, Business — General
  2. [2] Item 1, Business — General
  3. [3] Item 1, Business — Our Investment Strategy
  4. [4] Item 1, Business — Investment Portfolio
  5. [5] Item 1, Business — Multi-Family Investments
  6. [6] Item 7, MD&A — Selected Statement of Operations Data
  7. [7] Item 7, MD&A — Selected Statement of Operations Data
  8. [8] Item 7, MD&A — Selected Statement of Operations Data
  9. [9] Item 7, MD&A — Selected Statement of Operations Data
  10. [10] Item 7, MD&A — Selected Statement of Operations Data
  11. [11] Item 7, MD&A — Selected Statement of Operations Data
  12. [12] Item 7, MD&A — Selected Statement of Operations Data
  13. [13] Item 7, MD&A — Selected Statement of Operations Data
  14. [14] Item 7, MD&A — Selected Statement of Operations Data
  15. [15] Item 7, MD&A — Selected Statement of Operations Data
  16. [16] Item 7, MD&A — Selected Statement of Operations Data
  17. [17] Item 7, MD&A — Selected Balance Sheet Data
  18. [18] Item 7, MD&A — Selected Balance Sheet Data
  19. [19] Item 7, MD&A — Selected Balance Sheet Data
  20. [20] Item 7, MD&A — Selected Balance Sheet Data
  21. [21] Item 7, MD&A — Selected Balance Sheet Data
  22. [22] Item 7, MD&A — Selected Balance Sheet Data
  23. [23] Item 7, MD&A — Selected Statement of Operations Data
  24. [24] Item 7, MD&A — Selected Statement of Operations Data
  25. [25] Item 7, MD&A — Results of Operations
  26. [26] Item 7, MD&A — Results of Operations
  27. [27] Item 7, MD&A — Results of Operations
  28. [28] Item 7, MD&A — Results of Operations
  29. [29] Item 7, MD&A — Results of Operations
  30. [30] Item 7, MD&A — Results of Operations
  31. [31] Item 7, MD&A — Results of Operations
  32. [32] Item 7, MD&A — Results of Operations
  33. [33] Item 7, MD&A — Results of Operations
  34. [34] Item 7, MD&A — Results of Operations
  35. [35] Item 7, MD&A — Results of Operations
  36. [36] Item 7, MD&A — Results of Operations
  37. [37] Item 7, MD&A — Results of Operations
  38. [38] Item 7, MD&A — Results of Operations
  39. [39] Item 7, MD&A — Executive Summary
  40. [40] Item 7, MD&A — Executive Summary
  41. [41] Item 7, MD&A — Executive Summary
  42. [42] Item 7, MD&A — Executive Summary
  43. [43] Item 7, MD&A — Executive Summary
  44. [44] Item 7, MD&A — Executive Summary
  45. [45] Item 7, MD&A — Executive Summary
  46. [46] Item 7, MD&A — Executive Summary
  47. [47] Item 7, MD&A — Executive Summary
  48. [48] Item 7, MD&A — Executive Summary
  49. [49] Item 7, MD&A — Executive Summary
  50. [50] Item 7, MD&A — Executive Summary
  51. [51] Item 7, MD&A — Executive Summary
  52. [52] Item 7, MD&A — Executive Summary
  53. [53] Item 7, MD&A — Executive Summary
  54. [54] Item 7, MD&A — Executive Summary
  55. [55] Item 1, Business — Our Investment Strategy
  56. [56] Item 1, Business — Joint Venture Equity
  57. [57] Item 7, MD&A — Executive Summary
  58. [58] Item 7, MD&A — Subsequent Developments
  59. [59] Item 7, MD&A — Subsequent Developments
  60. [60] Item 7, MD&A — Subsequent Developments
  61. [61] Item 7, MD&A — Subsequent Developments
  62. [62] Item 7, MD&A — Subsequent Developments
  63. [63] Item 7, MD&A — Current Market Conditions and Commentary
  64. [64] Item 7, MD&A — Current Market Conditions and Commentary
  65. [65] Item 7, MD&A — Current Market Conditions and Commentary
  66. [66] Item 7, MD&A — Current Market Conditions and Commentary
  67. [67] Item 7, MD&A — Current Market Conditions and Commentary
  68. [68] Item 1A, Risk Factors — Declines in the market values of our investments may adversely affect periodic reported results and credit availability.
  69. [69] Item 1A, Risk Factors — Interest rate mismatches between the interest-earning assets held in our investment portfolio and the borrowings used to fund the purchases of those assets may reduce our net income or result in a loss during periods of changing interest rates.
  70. [70] Item 1A, Risk Factors — If our estimates of the loss-adjusted yields of our investments in credit sensitive assets prove inaccurate, we may experience losses.
  71. [71] Item 1A, Risk Factors — An increase in interest rates may cause a decrease in the availability of certain of our targeted assets, including Agency RMBS, and could cause our interest expense to increase, which could materially adversely affect our ability to acquire targeted assets that satisfy our investment objectives, our earnings and our ability to make distributions to our stockholders.
  72. [72] Item 1A, Risk Factors — Our investment portfolio may at times be concentrated in certain asset types or secured by properties concentrated in a limited number of real estate sectors or geographic areas, which increases, with respect to those asset types, property types or geographic locations, our exposure to economic downturns and risks associated with the real estate and lending industries in general.
  73. [73] Item 1A, Risk Factors — Prepayment rates can change, adversely affecting the performance of our assets.
  74. [74] Item 1A, Risk Factors — Our portfolio of business purpose loans exposes us to risks that are different from the risks involved with our traditional investments in residential mortgage loans.
  75. [75] Item 1A, Risk Factors — Our investments may include subordinated tranches of RMBS, CMBS and ABS, which are subordinate in right of payment to more senior securities and have greater risk of loss than other investments.
  76. [76] Item 1A, Risk Factors — We have experienced and may experience in the future increased volatility in our GAAP results of operations as we have elected fair value option for the majority of our investments.
  77. [77] Item 1A, Risk Factors — In connection with our operating and investment activity, we rely on third-party service providers to perform a variety of services, comply with applicable laws and regulations, and carry out contractual covenants and terms, the failure of which by any of these third-party service providers may adversely impact our business and financial results.
  78. [78] Item 1A, Risk Factors — To the extent that due diligence is conducted as part of our acquisition or underwriting process, such due diligence may be limited, may not reveal all of the risks associated with such assets and may not reveal other weaknesses in such assets, which could lead to material losses.
  79. [79] Item 1A, Risk Factors — The lack of liquidity in certain of our assets may adversely affect our business.
  80. [80] Item 1A, Risk Factors — The use of models in connection with the valuation of our assets subjects us to potential risks in the event that such models are incorrect, misleading or based on incomplete information.
  81. [81] Item 1A, Risk Factors — Our investments in residential loans are difficult to value and such valuations are dependent upon the borrower’s ability to service or refinance their debt and, in the case of business purpose loans made to borrowers who rent the respective collateral property, are also dependent upon such collateral property’s rental income.
  82. [82] Item 1A, Risk Factors — Our preferred equity investments involve greater risks of loss than more senior loans secured by income-producing properties.
  83. [83] Item 1A, Risk Factors — Our business is subject to risks particular to real property and real estate-related assets.
  84. [84] Item 1A, Risk Factors — Competition may prevent us from acquiring assets on favorable terms or at all, which could have a material adverse effect on our business, financial condition and results of operations.
  85. [85] Item 1A, Risk Factors — We are highly dependent on information and communication systems and system failures and other operational disruptions could significantly disrupt our business, which may, in turn, materially adversely affect our business, financial condition and results of operations and our ability to make distributions to our stockholders.
  86. [86] Item 1A, Risk Factors — Our access to financing sources, which may not be available on favorable terms, or at all, may be limited, and this may materially adversely affect our business, financial condition and results of operations and our ability to make distributions to our stockholders.
  87. [87] Item 1A, Risk Factors — The repurchase agreements that we use to finance our investments may require us to provide additional collateral, which could reduce our liquidity and harm our financial condition.
  88. [88] Item 1A, Risk Factors — We leverage our equity, which can exacerbate any losses we incur on our current and future investments and may reduce cash available for distribution to our stockholders.
  89. [89] Item 1A, Risk Factors — If we are unable to leverage our equity to the extent we currently anticipate, the returns on certain of our assets could be diminished, which may limit or eliminate our ability to make distributions to our stockholders.
  90. [90] Item 1A, Risk Factors — We directly or indirectly utilize non-recourse securitizations and recourse structured financings and such structures expose us to risks that could result in losses to us.
  91. [91] Item 1A, Risk Factors — If a counterparty to our repurchase transactions defaults on its obligation to resell the pledged assets back to us at the end of the transaction term or if we default on our obligations under the repurchase agreement, we may incur losses.
  92. [92] Item 1A, Risk Factors — Our use of repurchase agreements to borrow funds may give our lenders greater rights in the event that either we or a lender files for bankruptcy.
  93. [93] Item 1A, Risk Factors — Negative impacts on our business may cause us to default on certain financial covenants contained in our financing arrangements.
  94. [94] Item 1A, Risk Factors — Hedging against interest rate, credit and market value changes as well as other risks may materially adversely affect our business, financial condition and results of operations and our ability to make distributions to our stockholders.
  95. [95] Item 1A, Risk Factors — Volatility in the market value of certain derivatives we use to manage exposures to geopolitical and general market risks may cause volatility in our net income.
  96. [96] Item 1A, Risk Factors — Difficult conditions in the mortgage, real estate and financial markets and the economy generally have caused and may cause us to experience losses in the future.
  97. [97] Item 1A, Risk Factors — We cannot predict the effect that changes in government policies, laws or regulations or the U.S. political environment will have on our business and the markets in which we operate.
  98. [98] Item 1A, Risk Factors — The downgrade, or perceived potential downgrade, of the credit ratings of the U.S. and the failure to resolve issues related to U.S. fiscal and debt policies may materially adversely affect our business, liquidity, financial condition and results of operations.
  99. [99] Item 1A, Risk Factors — The federal conservatorship of Fannie Mae and Freddie Mac and related efforts, along with any changes in such conservatorship or laws and regulations affecting the relationship between Fannie Mae, Freddie Mac and Ginnie Mae and the U.S. Government, may materially adversely affect our business, financial condition and results of operations, and our ability to pay dividends to our shareholders.
  100. [100] Item 1A, Risk Factors — We may change our investment, financing, or hedging strategies and asset allocation and operational and management policies without stockholder consent, which may result in the purchase of riskier assets, the use of greater leverage or commercially unsound actions, any of which could materially adversely affect our business, financial condition and results of operations and our ability to make distributions to our stockholders.
  101. [101] Item 1A, Risk Factors — Maintenance of our exemption from registration as an investment company under the Investment Company Act imposes significant limits on our operations.
  102. [102] Item 1A, Risk Factors — The accrual of dividends on certain of our series of preferred stock at a floating rate in the future could adversely affect our ability to make cash distributions at our intended levels, or at all, or otherwise materially adversely affect our earnings, cash flows or financial condition.
  103. [103] Item 1A, Risk Factors — Mortgage loan modification programs and future legislative action may adversely affect the value of, and the returns on, our targeted assets.
  104. [104] Item 1A, Risk Factors — We could be subject to liability for potential violations of predatory lending laws, which could materially adversely affect our business, financial condition and results of operations, and our ability to make distributions to our stockholders.
  105. [105] Item 1A, Risk Factors — Our business is subject to extensive regulation.
  106. [106] Item 1A, Risk Factors — Certain provisions of Maryland law and our charter and bylaws could hinder, delay or prevent a change in control which could have an adverse effect on the value of our securities.
  107. [107] Item 1A, Risk Factors — The stock ownership limit imposed by our charter may inhibit market activity in our common stock and may restrict our business combination opportunities.
  108. [108] Item 1A, Risk Factors — Failure to qualify as a REIT would adversely affect our operations and ability to make distributions.
  109. [109] Item 1A, Risk Factors — REIT distribution requirements could adversely affect our liquidity.
  110. [110] Item 1A, Risk Factors — Dividends payable by REITs do not qualify for the reduced tax rates on dividend income from regular corporations.
  111. [111] Item 1A, Risk Factors — Complying with REIT requirements may cause us to forego or liquidate otherwise attractive investments and rapid changes in the market value or income potential of our assets may make it more difficult for us to maintain our qualification as a REIT or our exclusion or exemption from regulation under the Investment Company Act.
  112. [112] Item 1A, Risk Factors — The failure of certain investments subject to a repurchase agreement to qualify as real estate assets would adversely affect our ability to qualify as a REIT.
  113. [113] Item 1A, Risk Factors — We may incur a significant tax liability as a result of selling assets that might be subject to the prohibited transactions tax if sold directly by us.
  114. [114] Item 1A, Risk Factors — Our qualification as a REIT could be jeopardized as a result of our interests in joint ventures or preferred equity.
  115. [115] Item 1A, Risk Factors — We may be subject to adverse legislative or regulatory tax changes that could reduce the market price of our common stock.
  116. [116] Item 1A, Risk Factors — Uncertainty exists with respect to the treatment of our TBAs for purposes of the REIT asset and income tests.
  117. [117] Item 1A, Risk Factors — We may incur losses as a result of unforeseen or catastrophic events, including the emergence of a pandemic, terrorist attacks, acts of violence or war, extreme weather events or other natural disasters.
  118. [118] Item 1A, Risk Factors — We face possible risks associated with the effects of climate change and severe weather.
  119. [119] Item 1A, Risk Factors — We are dependent on certain key personnel.
  120. [120] Item 1A, Risk Factors — Investing in our securities involves a high degree of risk.
  121. [121] Item 1A, Risk Factors — The market price and trading volume of our securities may be volatile.
  122. [122] Item 1A, Risk Factors — We have not established a minimum dividend payment level for our common stockholders and there are no assurances of our ability to pay dividends to common or preferred stockholders in the future.
  123. [123] Item 1A, Risk Factors — Future offerings of debt securities, which would rank senior to our common stock and preferred stock upon our liquidation, and future offerings of equity securities, which would dilute our existing stockholders and may be senior to our common stock for the purposes of dividend and liquidating distributions, may adversely affect the market price of our common stock and, in certain circumstances, our preferred stock.
  124. [124] Item 1A, Risk Factors — Your interest in us may be diluted if we issue additional shares.
  125. [125] Item 1A, Risk Factors — An increase in interest rates may have an adverse effect on the market price of our securities and our ability to make distributions to our stockholders.
  126. [126] Item 7, MD&A — Executive Summary
  127. [127] Item 7, MD&A — Executive Summary
  128. [128] Item 7, MD&A — Executive Summary
  129. [129] Item 7, MD&A — Executive Summary
  130. [130] Item 7, MD&A — Executive Summary
  131. [131] Item 7, MD&A — Executive Summary
  132. [132] Item 7, MD&A — Executive Summary

Analysis on 5/19/2026