Armour Residential Reit, Inc. · NYSE:ARR
Armour Residential Reit — Corporate Update (May 2018)
9 slides from Armour Residential Reit's corporate update, May 15, 2018
Slide 1: Company Update
ARMOUR RESIDENTIAL REIT, Inc. Company Update 05/15/2018 ARMOUR seeks to create shareholder value through thoughtful investment and risk management that produces current yield and superior risk adjusted returns over the long term. Our focus on residential real estate finance supports home ownership f
Slide 2: Important Regulatory and Yield Estimate Risk Disclosures
PLEASE READ: Important Regulatory and Yield Estimate Risk Disclosures 2 • Certain statements made in this presentation regarding ARMOUR Residential REIT, Inc. (“ARMOUR” or the “Company”), and any other statements regarding ARMOUR’s future expectations, beliefs, goals or prospects constitute forward-
Slide 3: ARMOUR Key Metrics
ARMOUR Key Metrics 3 ARMOUR invests in and manages a leveraged portfolio of mortgage-related assets and U.S. government securities. Market Date 2/28/18 3/31/18 4/30/18 NIM Breakdown Common Stock Price $21.42 $23.28 $22.63 3.5 Estimated Book Value $24.83 $24.61 $24.09 3.0 Common Shares Outstanding 41
Slide 4: Overview
ARMOUR Overview 4 1 Capitalization • Total capitalization of $1,223.2 million composed of: ◦ Estimated book value of common stock of $1,009.4 million. ◦ Preferred stock par value of $213.7 million. 2 Common Stock Dividend Policy • ARMOUR pays common stock dividends monthly. • Dividends are typically
Slide 5: Balance Sheet Metrics
ARMOUR Balance Sheet Metrics 5 1 Equity Allocation • ARMOUR invests in mortgage-related assets and U.S. government securities. Allocation of equity in repo is: ◦ 59.0% in Agency securities. ◦ 40.3% in Credit Risk and Non-Agency securities. ◦ 0.7% in US Treasuries. 2 Duration • 0.70 net balance sheet
Slide 6: Portfolio & Hedge Positioning
ARMOUR Portfolio & Hedge Positioning 6 Estimated % of Current Value Weighted Average Weighted Average Weighted Average Effective Securities Portfolio (millions) Book Price Market Price Net/Gross Coupon Duration Agency ARMs & Hybrids 0.6% $59.1 104.8% 103.3% 3.09/3.72 1.03 Agency Multifamily Ballooni
Slide 7: Repo Composition
ARMOUR Repo Composition 7 Weighted Principal Percentage of Repo Weighted Average Longest Borrowed Positions with Average Original Remaining Remaining Repo Counter-Party (millions) ARMOUR Term in Days Term in Days Term in Days 1 BUCKLER Securities LLC(1) $3,502.4 49.6% 30 16 39 2 ABN AMRO Bank N.V. $
Slide 8: Portfolio Constant Prepayment Rates ("CPR")
ARMOUR Portfolio Constant Prepayment Rates ("CPR") 8 Trailing Twelve Month Portfolio CPR April 2018 Agency Asset CPR 15 ARMs & Hybrids 12.6 10 10 & 15 Year Pass-Throughs 9.6 20 Year Pass-Throughs 22.3 25 & 30 Year Pass-Throughs 8.5 5 Agency Multifamily 0.0 Agency IO 13.1 Portfolio Average 6.9 0 7 7
Slide 9: Residential REIT, Inc. 3001 Ocean Drive Suite Vero Beach, FL 32963 armourreit.com 772-617-4340
ARMOUR Residential REIT, Inc. 3001 Ocean Drive Suite 201 Vero Beach, FL 32963 armourreit.com 772-617-4340
ARMOUR Residential REIT — Corporate Update (May 2018) on 6ix