New York Mortgage Trust, Inc. (NYMTP)

We take a look at the action in preferreds and baby bonds through the first short week of July and highlight some of the key themes we are watching. We highlight the steep fall-off yield dynamic of callable securities moving past their "par" price level.

We have been warning about the risks of inflation and rising interest rates for many months now. Warren Buffett raised a red flag recently. Yellen admits inflation is rising fast.

Preferreds have continued powering higher on the back of lower volatility and spread compression. Few opportunities exist among IG preferreds but there are still some beaten-down high yield preferreds with catch-up potential.

Discounts to book value (or NAV) are the start of your mortgage REIT analysis, but not the end. In this series we’re providing readers with the discounts to trailing book values throughout the sector and a few notes on the current environment.

Discounts to book value are the start of your analysis, but not the end. In this series we’re providing readers with the discounts to trailing book values throughout the sector and a few notes on the current environment.

Price-to-book ratios dropped materially, creating new opportunities. Buying with a discount to book value doesn’t guarantee success, yet it does improve the odds dramatically.

Discounts to book value are the start of your analysis, but not the end. In this series, we’re providing readers with the discounts to trailing book values throughout the sector and a few notes on the current environment.

We're breaking down Annaly Capital Management for new readers to demonstrate how to analyze the stock.

Analysis starts with discount to book, but it doesn't end there. Using current estimates for book value is far superior to using trailing book values, but the trailing values will still give investors a rough idea.

One topic that seems to come up regularly is investors wondering about using a buy-and-hold strategy for years on common shares.

Volatility in the NYMT preferred shares can get pretty intense when the market expects a recession. When a recession actually occurs, the volatility roars higher.

Mortgage REIT earnings season wrapped up this week. As with their Equity REIT peers, earnings reports were generally better-than-expected.

On 7/27/2020, AGNC reported results for the second quarter of 2020. AGNC reported comprehensive income of $921 million and a non-tangible BV as of 6/30/2020 of $15.86 per common share.

Few asset classes have been slammed harder by the pandemic than Mortgage REITs, which have seen a dividend cut bloodbath with 33 of 42 mREITs suspending or reducing their dividends.

I am projecting AGNC will report a modest (at or greater than 5% but less than 10%) BV increase for the second quarter of 2020.

I am projecting AGNC will report a combined notable net unrealized gain on available-for-sale securities and investment securities measured at FMV for the second quarter of 2020.