Agency mortgage real estate investment trusts are now in a correction phase due to concerns about interest rates and other factors, Seeking Alpha writes.

Recently increasing interest rates and the last several quarters of accelerating prepayment rates have caused many investors to sensibly gain a fear of declining future margins and declining book valuations for agency debt in accordance with any future interest rate increases.

This has made agency mREITs and the abovementioned ETFs exceptionally poor performers over the last few weeks.