Mortgages are originated by banks and brokers. And in turn they are either held and owned by banks and investment companies or they are packaged together to become bonds known as mortgage-backed securities (MBS). MBS are in turn bought by insurance companies, pension funds and investment companies. These investors if they’re smart and disciplined, pour through the underlying mortgages to determine what’s happening for the collateral of the homes as well as the payment of interest and principal.
One of the best in the business of investing and managing MBS is MFA Financial (NYSE:MFA). MFA is structured as a real estate investment trust (REIT). As such, it holds mortgage investments instead of properties and avoids corporate income taxes by paying the majority of its income to shareholders just like any other REIT. MFA Financial has consistently turned in profits and dividend payouts for shareholders even during the 2007-2008 crisis.
Source: InvestorPlace
Related Articles:
- 4 Industrial Strength Dividend Growth Stocks With Yields In Excess Of 2.7%
- Finding Low Risk Dividend Stocks
- 10 Fun Facts That You Might Not Know About Microsoft
- 5 Dividend Stocks To Beat The Wall Street Giants
- A Disciplined Approach To Dividend Growth Stocks
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Not all utility stocks are cut from the same cloth. There have been some dividend blow-ups in the sector, as a few have become over-leverage...
-
Two conservative industry bellwethers with giant yields and strong businesses -- there's a lot to love here. Dividends are only as good ...
-
In today’s market, high-yield stocks are usually not the safest bets. I mean, if a company is solid and offers a yield much higher than its ...
-
You have good reason to be nervous. Anyone who had just seen their retirement account take a big haircut would lose sleep. The question is, ...
-
On the surface, AT&T (NYSE: T) may look like a compelling investment. It is one of the largest telecommunications companies in the world...
-
This REIT continues to make a strong value proposition for investors that value income stability in a volatile market. It convinces in terms...
-
Studies have shown that there is no single best season or month to trade stocks -- take that, January Effect! That said, there are some soli...
-
Most dividend stocks pay on a quarterly or even semi-annual basis. And while that may not seem like a problem, for many retirees used to a m...
-
Buying and holding high-quality, high-yield dividend stocks is a great way for investors to predictably generate market-beating returns over...
-
It is said that income investing is a negative art. Your goal isn’t to pick the winners — it’s to avoid the losers. You want to pick winners...
0 comments
Post a Comment
Post a Comment