Mortgage REIT investing in agency and non-agency residential mortgage-backed securities.
AGNC Investment Corp., based in Bethesda, Maryland, operates as a prominent real estate investment trust (REIT) specializing in the United States residential mortgage market. The company strategically invests in residential mortgage pass-through securities and collateralized mortgage obligations, which benefit from guarantees on principal and interest payments either by government-sponsored enterprises or United States government agencies.
AGNC funds its investments primarily through collateralized borrowings structured as repurchase agreements, a financial mechanism that supports its portfolio expansion while managing liquidity effectively. By electing to operate as a REIT under the Internal Revenue Code of 1986, AGNC enjoys favorable tax treatment, allowing it to avoid federal corporate income taxes provided it distributes at least 90% of its taxable income to shareholders.
Originally founded as American Capital Agency Corp. in 2008, the coompany rebranded to AGNC Investment Corp. in September 2016, marking a strategic evolution in its market identity and operational focus. This transition underscores AGNC's commitment to adapting to industry dynamics and enhancing shareholder value through optimized investment strategies and disciplined risk management.
With a robust presence in Bethesda, Maryland, AGNC Investment Corp. is strategically positioned to capitalize on opportunities within the dynamic residential mortgage sector. The company's comprehensive approach to portfolio management and its emphasis on government-backed securities highlight its resilience and leadership in navigating the complexities of the mortgage-backed securities market.