The Business of Mortgage Risk: David Finkelstein on Capital, MSRs, and the Next Cycle
In this episode of Powerhouse, Diego Sanchez interviews David Finkelstein, CEO of Annaly Capital Management. They discuss the company’s position as a leading mortgage real estate investment trust (REIT), its growth strategy, and the importance of subservicing partnerships. David shares insights on the current mortgage rate environment, the challenges faced by the Federal Reserve, and the future outlook for the housing market.
Here’s a glimpse of what you’ll learn
- Annaly Capital Management is the largest mortgage REIT.
- The company has $15 billion in permanent capital allocated to housing.
- Annaly’s portfolio consists of $100 billion in assets.
- The focus is on managing interest rate and prepayment risk.
- Partnerships with subservicers create operational efficiencies.
- The company is targeting 20% capital for its MSR portfolio.
- Mortgage rates are expected to remain in a stable range.
- The Federal Reserve faces challenges with inflation and employment.
- Annaly aims to grow its Resi and MSR portfolios significantly.
- Technology and data analytics are crucial for future growth.
Related to this episode:
The Power House podcast brings the biggest names in housing to answer hard-hitting questions about industry trends, operational and growth strategy, and leadership. Join HousingWire president Diego Sanchez every Thursday morning for candid conversations with industry leaders to learn how they’re differentiating themselves from the competition. Hosted and produced by the HousingWire Content Studio.
