About Us
MFA Financial, Inc. is a self-advised real estate investment trust (or REIT) primarily engaged in the business of investing, on a leveraged basis, in both Agency and non-Agency residential mortgage-backed securities (or MBS) which are primarily secured by pools of hybrid and adjustable-rate mortgage loans (or ARMs) on single family residences.
The ARMs collateralizing MFA’s MBS are primarily comprised of hybrids, which have interest rates that are fixed for a specified period (typically three to ten years) and, thereafter, generally adjust annually to an increment over a specified interest rate index, and, to a lesser extent, adjustable-rate mortgages, which have interest rates that generally adjust annually (although some adjust more frequently) to an increment over a specified interest rate index. Interest rates on the mortgage loans collateralizing MFA’s MBS are based on specific index rates, such as London Interbank Offered Rate (or LIBOR) or the one-year constant maturity treasury (or CMT) rate. The ARMs collateralizing MFA’s MBS typically have interim and lifetime caps on interest rate adjustments. Because the coupons earned on hybrid and adjustable-rate MBS adjust over time as interest rates change (typically after a fixed-rate period) the market values of these assets are generally less sensitive to changes in interest rates than are fixed-rate MBS.
MFA’s financing strategy is designed to increase the size of its MBS portfolio by borrowing against a substantial portion of the market value of the MBS in its portfolio. MFA generally utilizes repurchase agreements, which typically bear interest rates reflective of LIBOR, to finance the acquisition of its MBS and, in certain cases, enter into interest rate swap agreements to hedge the interest rate risk associated with these repurchase agreements. MFA primarily generates net income by maintaining a positive spread between the interest and other income it earns on its investments and the cost of financing such investments and its operating costs.
MFA was incorporated in Maryland on July 24, 1997 and began operations on April 10, 1998. MFA has elected to be treated as a REIT for U.S. federal income tax purposes. MFA’s common stock and preferred stock are listed on the New York Stock Exchange under the symbols “MFA” and “MFA PrA,” respectively. MFA’s principal executive offices are located at 350 Park Avenue, 21st Floor, New York, New York 10022, and its telephone number is 212-207-6400.
Stockholders interested in participating in MFA's Discount Waiver, Direct Stock Purchase and Dividend Reinvestment Plan or receiving a plan prospectus may do so by contacting The Bank of New York Mellon, the plan administrator, at 1-866-249-2610 (toll free). For more information about the plan, interested stockholders may also go to the website established for the plan at http://www.bnymellon.com/shareowner/isd.