Annaly Capital Management
Annaly Capital Management is a leading diversified capital manager with a $74 billion portfolio and $11 billion in permanent capital, specializing in mortgage finance investments.
Company Overview
Annaly Capital Management is a leading diversified capital manager with investment strategies across mortgage finance. The firm boasts a substantial portfolio valued at $74 billion and has $11 billion in permanent capital. Their business model prioritizes best-in-class management and governance, as evidenced by their inclusion in the Bloomberg Gender-Equality Index for six consecutive years.
Agency Group Investments
Annaly Capital Management's Agency Group specializes in investing in Agency mortgage-backed securities (MBS) and Agency commercial mortgage-backed securities (CMBS). These investments are collateralized by residential and commercial mortgages guaranteed by government-sponsored enterprises such as Fannie Mae, Freddie Mac, or Ginnie Mae. This strategy provides a strong foundation of reliable, government-backed investment opportunities.
Mortgage Servicing Rights (MSR) Group
The Mortgage Servicing Rights (MSR) Group at Annaly Capital Management focuses on acquiring MSR assets, which entail the obligation to service residential loans in return for a fixed servicing fee. As of March 31, 2024, the MSR portfolio had a market value of $2.7 billion and an unpaid principal balance of $186 billion. These assets feature a weighted average coupon of 3.07%, a weighted average FICO score of 757 at origination, and a weighted average loan-to-value (LTV) ratio of 69% at origination.
Residential Credit Group
Annaly's Residential Credit Group principally invests in Non-Agency residential mortgage assets within the securitized product and whole loan markets. This group's portfolio includes $6.2 billion in assets and $2.4 billion in capital as of March 31, 2024. The strategy is designed to be cyclical and growth-oriented, with a focus on creditworthy borrowers underserved by traditional bank lenders. Since inception in April 2021, the group has aggregated nearly $8.7 billion in expanded credit loans.
Recognition and Governance
Annaly Capital Management has a longstanding commitment to high standards in management and governance. This dedication has led to their recognition in the Bloomberg Gender-Equality Index for six consecutive years. Annaly continues to prioritize strong oversight and best practices in all aspects of their operations to maintain their leading position in the industry.