Annaly Capital Increases Exposure to Credit Risk
The past 12 months have been a period of massive change for mortgage real estate investment trusts (REITs). The COVID-19 pandemic caused a major crisis initially, and then interest-rate volatility and margin calls became the defining characteristic of the environment. Most mortgage REITs, including Annaly Capital Management (NYSE: NLY), have more or less recovered from the crisis and are now looking at a new recovery-driven environment. So as the U.S. economy enters its recovery phase, investment themes change, as well. Even a mortgage REIT will find old opportunities fade and new ones appear. Here's how Annaly is adjusting its portfolio from a defensive posture to one more focused on economic growth.
Source Fool.com
