INVESCO MORTGAGE CAPITAL (NYSE:IVR) (NYSE: IVR) is a real estate investment trust that specializes in investing in U.S. residential mortgage-backed securities. The company’s portfolio is weighted toward agency-guaranteed RMBS issued or guaranteed by U.S. government-sponsored enterprises such as Fannie Mae, Freddie Mac and Ginnie Mae. By focusing on collateral backed by federal agencies, Invesco Mortgage Capital seeks to generate attractive returns while managing credit risk through securities that carry explicit or implicit government guarantees.
To enhance its portfolio yield, the company employs leverage through repurchase agreements, warehouse facilities and debt financing. Invesco Mortgage Capital may also allocate a portion of its assets to non-agency residential MBS, U.S. Treasury securities and other mortgage-related instruments, depending on market conditions and relative value opportunities. Its investment strategy is underpinned by a risk management framework designed to monitor interest rate exposure, duration and liquidity across the portfolio.
Headquartered in Atlanta, Georgia, Invesco Mortgage Capital is externally managed by Invesco Advisers Inc., an affiliate of global investment manager Invesco Ltd. The management team comprises professionals with expertise in mortgage finance, portfolio management and quantitative analytics, supported by Invesco’s broader research capabilities. Operating primarily in the U.S. mortgage markets, the company leverages Invesco’s scale and market access to source and execute on investment opportunities.
Established in late 2005, Invesco Mortgage Capital commenced operations in early 2006 and has since aimed to deliver consistent income and total return for its shareholders. The company’s governance structure, including an independent board of directors, is designed to align management incentives with shareholder interests and ensure robust oversight of its investment activities and financial operations.
