Successfully Weathering Industry Headwinds Since the 1980s

At Dynex Capital, we focus on the expected risk-adjusted outcome of any investment which, given our use of leverage, must include the terms of financing and the expected liquidity of the investment. Key points of our investment philosophy and strategy include:

  • Focus on capital preservation
  • Simple, executable strategy
  • Disciplined allocation of capital
  • Manageable risk at the enterprise level
  • Stable, acceptable long-term returns

In executing our investment strategy, we seek to balance the various risks of owning mortgage assets with the earnings opportunity on the investment. We believe our strategy of investing in Agency and non-Agency mortgage assets provides superior diversification of these risks across our investment portfolio and provides ample opportunities to generate attractive risk-adjusted returns while preserving our shareholders’ capital. We also believe that our shorter duration strategy will reduce volatility in our results and our book value per Common share than strategies that invest in longer duration assets with potentially more interest rate risk.