Armour Residential Reit, Inc. · NYSE:ARR
Armour Residential Reit — Corporate Update (January 2019)
9 slides from Armour Residential Reit's corporate update, Jan 10, 2019
Slide 1: Company Update 1/10/19
ARMOUR RESIDENTIAL REIT, Inc. Company Update 1/10/19 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 for
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 10/31/18 11/30/18 12/31/18 NIM Breakdown 3.5 Common Stock Price $21.78 $22.14 $20.50 Estimated Book Value $22.20 $21.86 $20.86 (2) 3.0 Estimated Book Value
Slide 4: Overview: Capitalization, Dividend Policy, Shareholder Alignment
ARMOUR Overview 4 1 Capitalization • Total capitalization of $1,125.4 million composed of: ◦ Estimated book value of common stock of $911.6 million. ◦ Preferred stock par value of $213.7 million. 2 Dividend Policy • ARMOUR pays dividends monthly. • Dividends are typically announced on a monthly basi
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: ◦ 69.6% in Agency securities. ◦ 30.4% in Credit Risk and Non-Agency securities. 2 Duration • (0.49) net balance sheet duration. 3 Hedging •
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% $50.0 104.8% 103.4% 3.62/4.28 0.91 Agency Multifamily Ballooni
Slide 7: Repo Composition
ARMOUR Repo Composition 7 Weighted Weighted Average Average Longest Principal Borrowed Percentage of Repo Original Term in Remaining Remaining Repo Counter-Party (millions) Positions with ARMOUR Days Term in Days Term in Days 1 BUCKLER Securities LLC (1) $3,503.8 49.8% 32 14 31 2 ING Financial Marke
Slide 8: Portfolio Constant Prepayment Rates (CPR)
ARMOUR Portfolio Constant Prepayment Rates ("CPR") 8 Trailing Twelve Month Portfolio CPR December 2018 Agency Asset CPR 10 ARMs & Hybrids 12.3 10 & 15 Year Pass-Throughs 5.6 20 Year Pass-Throughs 18.1 5 25 & 30 Year Pass-Throughs 5.4 Agency Multifamily 0.0 Agency IO 11.0 Portfolio Average 4.2 0 7 8
Slide 9: ARMOUR Residential REIT, Inc. contact details
ARMOUR Residential REIT, Inc. 3001 Ocean Drive Suite 201 Vero Beach, FL 32963 armourreit.com 772-617-4340
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