Hatteras Financial (HTS) 10-Q 29 Apr 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2014	Apr. 28, 2014
Document And Entity Information [Line Items]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	31-Mar-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'
Trading Symbol	'HTS	'
Entity Registrant Name	'HATTERAS FINANCIAL CORP	'
Entity Central Index Key	'0001419521	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Large Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	96,515,027

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Assets	'	'
Mortgage-backed securities, at fair value (including pledged assets of $15,897,380 and $17,049,670 at March 31, 2014 and December 31,2013, respectively)	$17,137,956	$17,642,532
Cash and cash equivalents	250,258	763,326
Restricted cash	231,591	225,379
Unsettled purchased mortgage-backed securities, at fair value	157,201	'
Receivable for securities sold	'	231,214
Accrued interest receivable	53,629	55,156
Principal payments receivable	70,524	95,021
Debt security, held to maturity, at cost	15,000	15,000
Interest rate swap asset	12,703	15,841
Other assets	36,393	33,891
Total assets	17,965,255	19,077,360
Liabilities and shareholders’ equity	'	'
Repurchase agreements	15,183,457	16,129,683
Dollar roll liability	'	351,826
Payable for unsettled securities	157,387	'
Accrued interest payable	3,475	8,279
Interest rate swap liability	106,132	125,133
Futures contract liability	48,584	36,733
Dividend payable	52,885	52,929
Accounts payable and other liabilities	20,621	8,676
Total liabilities	15,572,541	16,713,259
Shareholders’ equity:	'	'
7.625% Series A Cumulative Redeemable Preferred stock, $.001 par value, 25,000,000 shares authorized, 11,500,000 shares issued and outstanding at March 31, 2014 and December 31, 2013, respectively ($287,500 aggregate liquidation preference)	278,252	278,252
Common stock, $.001 par value, 200,000,000 shares authorized, 96,601,523 and 98,822,654 shares issued and outstanding at December 31, 2013 and December 31, 2012, respectively	97	97
Additional paid-in capital	2,451,966	2,453,018
Accumulated deficit	-396,154	-359,214
Accumulated other comprehensive income (loss)	58,553	-8,052
Total shareholders’ equity	2,392,714	2,364,101
Total liabilities and shareholders’ equity	$17,965,255	$19,077,360

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, except Share data, unless otherwise specified
Mortgage-backed securities, pledged assets	$15,897,380	$17,049,670
7.625% Series A Cumulative Redeemable Preferred stock, par value	$0.00	$0.00
7.625% Series A Cumulative Redeemable Preferred stock, shares authorized	25,000,000	25,000,000
7.625% Series A Cumulative Redeemable Preferred stock, shares issued	11,500,000	11,500,000
7.625% Series A Cumulative Redeemable Preferred stock, shares outstanding	11,500,000	11,500,000
7.625% Series A Cumulative Redeemable Preferred stock, aggregate Liquidation Preference	$287,500	$287,500
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	96,515,027	96,601,523
Common stock, shares outstanding	96,515,027	96,601,523

Consolidated_Statements_of_Inc

Consolidated Statements of Income (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Interest income:	'	'
Interest income on mortgage-backed securities	$96,307	$124,241
Interest income on short-term cash investments	282	442
Total interest income	96,589	124,683
Interest expense	38,451	53,277
Net interest margin	58,138	71,406
Operating expenses:	'	'
Management fee	4,154	4,720
Share based compensation	860	629
General and administrative	2,147	1,369
Total operating expenses	7,161	6,718
Other income (loss):	'	'
Net realized gain on sale of mortgage-backed securities	7,436	2,500
Gain (loss) on derivative instruments, net	-41,615	51
Total other income (loss)	-34,179	2,551
Net income	16,798	67,239
Dividends on preferred stock	5,480	5,480
Net income available to common shareholders	$11,318	$61,759
Earnings per share - common stock, basic	$0.12	$0.62
Earnings per share - common stock, diluted	$0.12	$0.62
Dividends per share of common stock	$0.50	$0.70
Weighted average common shares outstanding, basic	96,606,081	98,827,587
Weighted average common shares outstanding, diluted	96,606,081	98,827,587

Consolidated_Statements_of_Com

Consolidated Statements of Comprehensive Income (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Net income	$16,798	$67,239
Other comprehensive income:	'	'
Net unrealized gains (losses) on securities available for sale	34,138	-18,852
Net unrealized gains on derivative instruments	32,467	25,046
Other comprehensive income	66,605	6,194
Comprehensive income	$83,403	$73,433

Consolidated_Statements_of_Cha

Consolidated Statements of Changes in Shareholders' Equity (USD $)	Total	7.625% Series A Cumulative Redeemable Preferred Stock	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)
In Thousands
Balance at Dec. 31, 2013	$2,364,101	$278,252	$97	$2,453,018	($359,214)	($8,052)
Repurchase of common stock	-1,912	'	'	-1,912	'	'
Share based compensation expense	860	'	'	860	'	'
Dividends declared on preferred stock	-5,480	'	'	'	-5,480	'
Dividends declared on common stock	-48,258	'	'	'	-48,258	'
Net income	16,798	'	'	'	16,798	'
Other comprehensive income	66,605	'	'	'	'	66,605
Balance at Mar. 31, 2014	$2,392,714	$278,252	$97	$2,451,966	($396,154)	$58,553

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Operating activities	'	'
Net income	$16,798	$67,239
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Net amortization of premium related to mortgage-backed securities	22,091	43,208
Reclassification of deferred swap loss	24,684	'
Amortization related to interest rate swap agreements	69	83
Share based compensation expense	860	629
Hedge ineffectiveness	'	116
Net gain on sale of mortgage-backed securities	-7,436	-2,500
Net (gain) loss on derivative instruments	41,615	-51
Changes in operating assets and liabilities:	'	'
Decrease in accrued interest receivable	1,527	2,422
(Increase) decrease in other assets	-2	88
Decrease in accrued interest payable	-4,804	-2,552
Increase (decrease) in accounts payable and other liabilities	4,052	-276
Net cash provided by operating activities	99,454	108,406
Investing activities	'	'
Purchases of mortgage-backed securities	-948,925	-1,316,188
Principal repayments on mortgage-backed securities	768,532	1,534,530
Sales of mortgage-backed securities	960,291	132,630
Net payments on derivative instruments	-26,462	'
Purchases of equity securities	-6,000	'
Net cash provided by investing activities	747,436	350,972
Financing activities	'	'
Repurchase of common stock	-1,912	'
Cash dividends paid	-53,782	-74,656
Proceeds from repurchase agreements	44,262,079	63,814,319
Principal repayments on repurchase agreements	-45,208,305	-64,093,816
Proceeds from dollar roll liability	241,121	'
Repayments on dollar roll liability	-592,947	'
(Increase) decrease in restricted cash margin on derivatives	-6,212	41,604
Net cash used in financing activities	-1,359,958	-312,549
Net increase (decrease) in cash and cash equivalents	-513,068	146,829
Cash and cash equivalents, beginning of period	763,326	168,424
Cash and cash equivalents, end of period	250,258	315,253
Supplemental disclosure of cash flow information	'	'
Cash paid during the period for interest	47,915	55,777
Supplemental schedule of non-cash investing and financing activities	'	'
Obligation to brokers for purchase of unsettled mortgage-backed securities	157,387	1,229,848
Dividend payable	52,885	'
Preferred Stock	'	'
Supplemental schedule of non-cash investing and financing activities	'	'
Dividend payable	4,627	4,628
Common Stock	'	'
Supplemental schedule of non-cash investing and financing activities	'	'
Dividend payable	$48,258	$69,181

Organization_and_Business_Desc

Organization and Business Description	3 Months Ended
	Mar. 31, 2014
Organization and Business Description	'
	1.       Organization and Business Description
	Hatteras Financial Corp. (the “Company”) was incorporated in Maryland on September 19, 2007.  The Company invests primarily in single-family residential mortgage assets, such as mortgage-backed securities (“MBS”), issued or guaranteed by the U.S. Government - Ginnie Mae - or by the U.S. Government sponsored enterprises - Fannie Mae and Freddie Mac - (“agency securities”).  The Company is externally managed by Atlantic Capital Advisors LLC (“ACA”).
	The Company has elected to be taxed as a real estate investment trust (“REIT”).  As a result, the Company does not pay federal income taxes on taxable income distributed to shareholders if certain REIT qualification tests are met.  It is the Company’s policy to distribute 100% of its taxable income, after application of available tax attributes, within the time limits prescribed by the Internal Revenue Code of 1986, as amended (the “Code”), which may extend into the subsequent taxable year.  However, certain activities that the Company may perform may cause it to earn income which will not be qualifying income for REIT purposes.  The Company has designated certain of its subsidiaries as taxable REIT subsidiaries (“TRSs”) as defined in the Code to engage in such activities, and the Company may in the future form additional TRSs.

Summary_of_Significant_Account

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2014
Summary of Significant Accounting Policies	'
	2.       Summary of Significant Accounting Policies
	Basis of Presentation and Use of Estimates
	The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X.  Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements.  In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included.  Operating results for the three months ended March 31, 2014 are not necessarily indicative of the results that may be expected for the calendar year ending December 31, 2014.  These unaudited consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2013.
	The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.  Significant estimates affecting the accompanying consolidated financial statements include the valuation of agency securities and derivative instruments.
	Principles of Consolidation
	The consolidated financial statements include the accounts of the Company and all of its subsidiaries.  The Company also considers the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) Topic 810 on Consolidation in determining whether consolidation is appropriate for any interests held in variable interest entities.  All significant intercompany balances and transactions have been eliminated.
	Financial Instruments
	The Company considers its cash and cash equivalents, restricted cash, agency securities (settled and unsettled), forward purchase commitments, debt security held to maturity, receivable for securities sold, accrued interest receivable, principal payment receivable, payable for unsettled securities, derivative instruments, repurchase agreements, dollar roll liabilities and accrued interest payable to meet the definition of financial instruments.  The carrying amount of cash and cash equivalents, restricted cash, receivable for securities sold, accrued interest receivable, dollar roll liabilities and payable for unsettled securities approximate their fair value due to the short maturities of these instruments and are valued using Level 1 inputs.  The carrying amount of repurchase agreements is deemed to approximate fair value given their short-term duration and are valued using Level 2 inputs.  See Note 4 for discussion of the fair value of agency securities and forward purchase commitments.  See Note 5 for discussion of the fair value of the held to maturity debt security.  See Note 7 for discussion of the fair value of derivative instruments.
	The Company limits its exposure to credit losses on its portfolio of securities by purchasing predominantly agency securities.  The portfolio is diversified to avoid undue exposure to loan originator, geographic and other types of concentration.  The Company manages the risk of prepayments of the underlying mortgages by creating a diversified portfolio with a variety of expected prepayment characteristics.  See Note 4 for additional information on MBS.
	The Company is engaged in various trading and brokerage activities including repurchase agreements, dollar rolls, interest rate swap agreements and futures contracts in which counterparties primarily include broker-dealers, banks, and other financial institutions.  In the event counterparties do not fulfill their obligations, the Company may be exposed to risk of loss.  The risk of default depends on the creditworthiness of the counterparty and/or issuer of the instrument.  It is the Company’s policy to review, as necessary, the credit standing for each counterparty.  See Note 6 for additional information on repurchase agreements and Note 7 for additional information on dollar rolls, interest rate swap agreements and futures contracts.
	Mortgage-Backed Securities
	The Company invests predominantly in agency securities representing interests in or obligations backed by pools of single-family residential mortgage loans.  Guidance under the FASB ASC Topic 820 on Investments requires the Company to classify its investments as either trading, available-for-sale or held-to-maturity securities.  Management determines the appropriate classifications of the securities at the time they are acquired and evaluates the appropriateness of such classifications at each balance sheet date.  The Company currently classifies all of its agency securities as available-for-sale.  All assets that are classified as available-for-sale are carried at fair value and unrealized gains and losses are included in other comprehensive income (loss).  The estimated fair values of agency securities are determined by management by obtaining valuations for its agency securities from independent sources and averaging these valuations.  Security purchase and sale transactions are recorded on the trade date.  Gains or losses realized from the sale of securities are included in income and are determined using the specific identification method.  Firm purchase commitments to acquire “when issued” or to-be-announced (“TBA”) securities are recorded at fair value in accordance with ASC Topic 815, Derivatives and Hedging (“ASC 815”).  The fair value of these purchase commitments is included in other assets or liabilities in the accompanying consolidated balance sheets.  If the Company intends to take physical delivery of the security, the commitment is designated as an all-in-one cash flow hedge and its unrealized gains and losses are recorded in other comprehensive income.  If the Company does not intend to take physical delivery, as is the case with TBA dollar rolls, the commitment is not designated as an accounting hedge and unrealized gains and losses are recorded in “Gain (loss) on derivative instruments, net.”
	The Company assesses its investment securities for other-than-temporary impairment on at least a quarterly basis.  When the fair value of an investment is less than its amortized cost at the balance sheet date the impairment is designated as either “temporary” or “other-than-temporary.” In deciding on whether or not a security is other than temporarily impaired, the Company uses a two-step evaluation process.  First, the Company determines whether it has made any decision to sell a security that is in an unrealized loss position, or, if not, the Company determines whether it is more likely than not that the Company will be required to sell the security prior to recovering its amortized cost basis.  If the answer to either of these questions is “yes” then the security is considered other-than-temporarily impaired.  No impairment losses were recognized during the periods presented.
	Derivative Instruments
	The Company manages economic risks, including interest rate, liquidity and credit risks, primarily by managing the amount, sources, cost, and duration of its debt funding.  The objectives of the Company’s risk management strategy are 1) to attempt to mitigate the risk of the cost of its variable rate liabilities increasing during a period of rising interest rates, and 2) to reduce fluctuations in net book value over a range of interest rate scenarios.  The principal instruments that the Company uses to achieve these objectives are interest rate swaps and Eurodollar Futures Contracts (“Futures Contracts”).  The Company uses Futures Contracts to approximate the economic hedging results achieved with interest rate swaps.  The Company does not enter into any of these transactions for speculative purposes.
	The Company accounts for derivative instruments in accordance with ASC 815, which requires an entity to recognize all derivatives as either assets or liabilities and to measure those instruments at fair value.  The accounting for changes in the fair value of derivative instruments depends on whether the instruments are designated and qualify as part of a hedging relationship pursuant to ASC 815.  Changes in fair value related to derivatives not in hedge designated relationships are recorded in “Gain (loss) on derivative instruments, net” in the Company’s consolidated statements of income, whereas changes in fair value related to derivatives in hedge designated relationships are initially recorded in other comprehensive income (loss) and later reclassified to income at the time that the hedged transactions affect earnings.  Any portion of the changes in fair value due to hedge ineffectiveness is immediately recognized in the income statement.
	Derivative instruments in a gain position are reported as derivative assets at fair value and derivative instruments in a loss position are reported as derivative liabilities at fair value in the Company’s consolidated balance sheets.  In the Company’s consolidated statements of cash flows, cash receipts and payments related to derivative instruments are classified according to the underlying nature or purpose of the derivative transaction, generally in the operating section if the derivatives are designated as accounting hedges and in the investing section otherwise.  The use of derivatives creates exposure to credit risk relating to potential losses that could be recognized in the event that the counterparties to these instruments fail to perform their obligations under the contracts.  The Company attempts to minimize this risk by limiting its counterparties to major financial institutions with acceptable credit ratings, monitoring positions with individual counterparties and adjusting posted collateral as required.
	All of the Company’s swaps have historically been accounted for as cash flow hedges under ASC 815.  However, on September 30, 2013, the Company discontinued hedge accounting for its interest rate swap agreements by de-designating the swaps as cash flow hedges.  No swaps were terminated in conjunction with this action, and the Company’s risk management and hedging practices were not impacted.  As a result of discontinuing hedge accounting, beginning October 1, 2013 changes in the fair value of the Company’s interest rate swap agreements are recorded in “Gain (loss) on derivative instruments, net” in the Company’s consolidated statements of income, rather than in other comprehensive income (loss).  Also, net interest paid or received under the swaps, which up through September 30, 2013 was recognized in “interest expense,” is instead recognized in “Gain (loss) on derivative instruments, net.” These swaps continue to be reported as assets or liabilities on the Company’s consolidated balance sheets at their fair value.
	As long as the forecasted transactions that were being hedged (i.e. rollovers of the Company’s repurchase agreement borrowings) are still expected to occur, the balance in accumulated other comprehensive income (AOCI) from swap activity up through September 30, 2013 will remain in AOCI and be recognized in the Company’s consolidated statements of income as “interest expense” over the remaining term of the swaps.  See Note 7 for further information.
	At times, the Company may also enter into TBA contracts as a means of investing in and financing agency securities via “dollar roll” transactions.  TBA dollar roll transactions involve moving the settlement of a TBA contract out to a later date by entering into an offsetting short position (referred to as a “pair off”), net settling the paired off positions for cash, and simultaneously purchasing a similar TBA contract for a later settlement date.  The agency securities purchased at the forward settlement date are typically priced at a discount to securities for settlement in the current month.  This difference is referred to as the “price drop.” The price drop represents compensation to the Company for foregoing net interest margin (interest income less repurchase agreement financing cost) and is referred to as “dollar roll income,” which the Company classifies in “Gain (loss) on derivative instruments, net.” Realized and unrealized gains and losses related to TBA contracts are also recognized in “Gain (loss) on derivative instruments, net.” TBA dollar roll transactions represent off-balance sheet financing.
	Repurchase Agreements
	The Company finances the acquisition of its agency securities through the use of repurchase agreements.  Under these repurchase agreements, the Company sells securities to a lender and agrees to repurchase the same securities in the future for a price that is higher than the original sales price.  The difference between the sale price that the Company receives and the repurchase price that the Company pays represents interest paid to the lender.  Although structured as a sale and repurchase obligation, a repurchase agreement operates as a financing under which the Company pledges its securities as collateral to secure a loan which is equal in value to a specified percentage of the estimated fair value of the pledged collateral.  The Company retains beneficial ownership of the pledged collateral.  At the maturity of a repurchase agreement, the Company is required to repay the loan and concurrently receives back its pledged collateral from the lender or, with the consent of the lender, the Company may renew such agreement at the then prevailing financing rate.  These repurchase agreements may require the Company to pledge additional assets to the lender in the event the estimated fair value of the existing pledged collateral declines.
	Dollar Roll Liability
	In addition to the TBA dollar roll transactions described above, the Company may from time to time execute dollar roll transactions on agency securities (“CUSIP dollar rolls”).  These transactions represent on-balance sheet financing, presented as “Dollar roll liability” in the Company’s consolidated balance sheets.  During the period of a CUSIP dollar roll, the financed security remains on the Company’s balance sheet, and the components of the net interest margin earned from the price drop are classified in “interest income on mortgage-backed securities” and “interest expense,” respectively.
	Offsetting of Assets and Liabilities
	The Company’s derivative agreements and repurchase agreements generally contain provisions that allow for netting or the offsetting of receivables and payables with each counterparty.  The Company reports amounts in its consolidated balance sheets on a gross basis without regard for such rights of offset or master netting arrangements.
	Interest Income
	Interest income is earned and recognized based on the outstanding principal amount of the investment securities and their contractual terms.  Premiums and discounts associated with the purchase of the investment securities are amortized or accreted into interest income over the actual lives of the securities using the effective interest method.
	Income Taxes
	The Company has elected to be taxed as a REIT under the Code.  The Company will generally not be subject to federal income tax to the extent that it distributes 100% of its taxable income, after application of available tax attributes, within the time limits prescribed by the Code and as long as it satisfies the ongoing REIT requirements including meeting certain asset, income and stock ownership tests.  The Company and two of its subsidiaries have made an election to treat these subsidiaries as TRSs.  As such, these TRSs are taxable as domestic C corporations and are subject to federal, state and local income taxes based upon their taxable income.
	Share-Based Compensation
	Share-based compensation is accounted for under the guidance included in the ASC Topic on Stock Compensation.  For share and share-based awards issued to employees, a compensation charge is recorded in earnings based on the fair value of the award.  For transactions with non-employees in which services are performed in exchange for the Company’s common stock or other equity instruments, the transactions are recorded on the basis of the fair value of the service received or the fair value of the equity instruments issued, whichever is more readily measurable at the date of issuance.  The Company’s share-based compensation transactions resulted in compensation expense of $860 and $629 for the three months ended March 31, 2014 and 2013, respectively.
	Earnings Per Common Share (EPS)
	Basic EPS is computed by dividing net income less preferred stock dividends to arrive at net income available to holders of common stock by the weighted average number of shares of common stock outstanding during the period.  Diluted EPS is computed using the two class method, as described in the ASC Topic on Earnings Per Share, which takes into account certain adjustments related to participating securities.  Participating securities are unvested share-based awards that contain rights to receive nonforfeitable dividends, such as those awarded under the Company’s equity incentive plan.  Net income available to holders of common stock after deducting dividends on unvested participating securities if antidilutive, is divided by the weighted average shares of common stock and common equivalent shares outstanding during the period.  For the diluted EPS calculation, common equivalent shares outstanding includes the weighted average number of shares of common stock outstanding adjusted for the effect of dilutive unexercised stock options, if any.

Financial_Instruments

Financial Instruments	3 Months Ended
	Mar. 31, 2014
Financial Instruments	'
	3.       Financial Instruments
	The Company’s valuation techniques for financial instruments are based on observable and unobservable inputs.  Observable inputs reflect readily obtainable data from independent sources, while unobservable inputs reflect the Company’s market assumptions.  The ASC Topic on Fair Value Measurements classifies these inputs into the following hierarchy:
	Level 1 Inputs– Quoted prices for identical instruments in active markets.
	Level 2 Inputs– Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable.
	Level 3 Inputs– Instruments with primarily unobservable value drivers.
	Other than the Futures Contracts, all of the Company’s agency securities and other derivatives were valued using Level 2 inputs at March 31, 2014 and December 31, 2013.  The Futures Contracts were valued using Level 1 inputs at March 31, 2014 and December 31, 2013.  See Notes 4 and 7, respectively, for discussion on how agency securities and other derivatives were valued.
	The carrying values and fair values of all financial instruments as of March 31, 2014 and December 31, 2013 were as follows:
		31-Mar-14				31-Dec-13
		Carrying Value		Fair Value		Carrying Value		Fair Value
	Assets
	Mortgage-backed securities	$	17,137,956	$	17,137,956	$	17,642,532	$	17,642,532
	Cash and cash equivalents		250,258		250,258		763,326		763,326
	Restricted cash		231,591		231,591		225,379		225,379
	Unsettled purchased mortgage backed securities		157,201		157,201		-		-
	Accrued interest receivable		53,629		53,629		55,156		55,156
	Receivable for securities sold		-		-		231,214		231,214
	Principal payments receivable		70,524		70,524		95,021		95,021
	Debt security, held to maturity		15,000		14,482		15,000		14,307
	Interest rate swap asset		12,703		12,703		15,841		15,841
	Futures Contracts*		5,617		5,617		11,148		11,148
	Short term investment*		20,052		20,052		19,910		19,910
	Forward purchase commitments*		2,042		2,042		-		-
	Liabilities
	Repurchase agreements	$	15,183,457		15,183,457	$	16,129,683	$	16,129,683
	Dollar roll liabilities		-		-		351,826		351,826
	Payable for unsettled securities		157,387		157,387		-		-
	Accrued interest payable		3,475		3,475		8,279		8,279
	Interest rate swap liability		106,132		106,132		125,133		125,133
	Futures contract liability		48,584		48,584		36,733		36,733
	Forward purchase commitments**		13,634		13,634		5,741		5,741
	*These lines are included in other assets on the consolidated balance sheets.
	**This line is included in accounts payable and other liabilities on the consolidated balance sheets.

MortgageBacked_Securities

Mortgage-Backed Securities	3 Months Ended
	Mar. 31, 2014
Mortgage-Backed Securities	'
	4.      Mortgage-Backed Securities
	All of the Company’s agency securities were classified as available-for-sale and, as such, are reported at their estimated fair value.  The agency securities market is primarily an over-the-counter market.  As such, there are no standard, public market quotations or published trading data for individual agency securities.  The Company estimates the fair value of the Company’s agency securities based on a market approach obtaining values for its securities primarily from third-party pricing services and dealer quotes.  To ensure the Company’s fair value determinations are consistent with the ASC Topic on Fair Value Measurements and Disclosures, the Company regularly reviews the prices obtained and the methods used to derive those prices.  The Company evaluates the pricing information it receives taking into account factors such as coupon, prepayment experience, fixed/adjustable rate, annual and life caps, coupon index, time to next reset and issuing agency, among other factors to ensure that estimated fair values are appropriate.  The Company reviews the methods and inputs used by providers of pricing data to determine that the fair value of its assets and liabilities are properly classified in the fair value hierarchy.
	The third-party pricing services gather trade data and use pricing models that incorporate such factors as coupons, primary mortgage rates, prepayment speeds, spread to the U.S. Treasury and interest rate swap curves, periodic and life caps and other similar factors.  Traders at broker-dealers function as market-makers for these securities, and these brokers have a direct view of the trading activity.
	Brokers do not receive compensation for providing pricing information to the Company.  The broker prices received are non-binding offers to trade.  The brokers receive data from traders that participate in the active markets for these securities and directly observe numerous trades of securities similar to the securities owned by the Company.  The Company’s analysis of fair value for these includes comparing the data received to other information, if available, such as repurchase agreement pricing or internal pricing models.
	If the fair value of a security is not available using the Level 2 inputs as described above, or such data appears unreliable, the Company may estimate the fair value of the security using a variety of methods including, but not limited to, other independent pricing services, repurchase agreement pricing, discounted cash flow analysis, matrix pricing, option adjusted spread models and other fundamental analysis of observable market factors.  At March 31, 2014 and December 31, 2013, all of the Company’s agency securities values were based on third-party sources.
	The Company’s investment portfolio consists of agency securities, which are backed by a U.S. Government agency or a U.S. Government sponsored enterprise.  The following table presents certain information about the Company’s agency securities at March 31, 2014.
		Amortized Cost			Gross Unrealized Loss			Gross Unrealized Gain		Estimated Fair Value
	Agency Securities
	Fannie Mae Certificates
	ARMs	$	9,553,321		$	(36,442	)	$	171,484	$	9,688,363
	Fixed Rate		303,611			(345	)		817		304,083
	Total Fannie Mae		9,856,932			(36,787	)		172,301		9,992,446
	Freddie Mac Certificates
	ARMs		6,964,182			(54,734	)		63,071		6,972,519
	Fixed Rate		173,086			(196	)		101		172,991
	Total Freddie Mac		7,137,268			(54,930	)		63,172		7,145,510
	Total Agency Securities	$	16,994,200		$	(91,717	)	$	235,473	$	17,137,956
	The following table presents certain information about the Company’s agency securities at December 31, 2013.
		Amortized Cost			Gross Unrealized Loss			Gross Unrealized Gain		Estimated Fair Value
	Agency Securities
	Fannie Mae Certificates
	ARMs	$	9,620,743		$	(44,871	)	$	167,848	$	9,743,720
	Fixed Rate		806,312			(1,798	)		3,832		808,346
	Total Fannie Mae		10,427,055			(46,669	)		171,680		10,552,066
	Freddie Mac Certificates
	ARMs		6,671,013			(70,752	)		57,808		6,658,069
	Fixed Rate		338,738			(1,600	)		21		337,159
	Total Freddie Mac		7,009,751			(72,352	)		57,829		6,995,228
	Ginnie Mae Certificates
	ARMs		—			—			—		—
	Fixed Rate		96,236			(998	)		—		95,238
	Total Ginnie Mae		96,236			(998	)		—		95,238
	Total Agency Securities	$	17,533,042		$	(120,019	)	$	229,509	$	17,642,532
	The components of the carrying value of available-for-sale agency securities at March 31, 2014 and December 31, 2013 are presented below.
		31-Mar-14			31-Dec-13
	Principal balance	$	16,525,003		$	17,044,190
	Unamortized premium		469,197			488,854
	Unamortized discount		-			(2	)
	Gross unrealized gains		235,473			229,509
	Gross unrealized losses		(91,717	)		(120,019	)
	Carrying value/estimated fair value	$	17,137,956		$	17,642,532
	The following table presents components of interest income on the Company’s agency securities portfolio for the three months ended March 31, 2014 and 2013.
		Three Months Ended March 31
		2014			2013
	Coupon interest on MBS	$	118,398		$	167,434
	Net premium amortization		(22,091	)		(43,193	)
	Interest income on MBS, net	$	96,307		$	124,241
	Gross gains and losses from sales of securities for the three months ended March 31, 2014 and 2013 were as follows.
		Three Months Ended March 31
		2014			2013
	Gross gains on MBS	$	7,436		$	2,500
	Gross losses on MBS		-			-
	Net gain (loss) on MBS	$	7,436		$	2,500
	The Company monitors the performance and market value of its agency securities portfolio on an ongoing basis, and on a quarterly basis reviews its agency securities for impairment.  At March 31, 2014 and December 31, 2013, the Company had the following securities in a loss position presented below:
		Less than 12 months						Less than 12 months
		as of March 31, 2014						as of December 31, 2013
		Fair Market			Unrealized			Fair Market		Unrealized
		Value			Loss			Value		Loss
	Fannie Mae Certificates
	ARMs	$	3,133,610		$	(36,442	)	$	3,233,274	$	(44,871	)
	Fixed Rate		171,707			(345	)		281,760		(1,798	)
	Freddie Mac Certificates
	ARMs		3,806,999			(54,734	)		4,046,473		(70,752	)
Fixed Rate		153,804			(196	)		316,835		(1,600	)
Ginnie Mae Certificates
ARMs		-			-			-		-
Fixed Rate		-			-			95,238		(998	)
Total temporarily impaired securities	$	7,266,120		$	(91,717	)	$	7,973,580	$	(120,019	)
Number of securities in an unrealized loss position					233					279
The Company did not make the decision to sell the above securities as of March 31, 2014 and December 31, 2013, nor was it deemed more likely than not the Company would be required to sell these securities before recovery of their amortized cost basis.
The contractual maturity of the Company’s agency securities ranges from 15 to 30 years.  Because of prepayments on the underlying mortgage loans, the actual weighted-average maturity is expected to be significantly less than the stated maturity.

Debt_Security_Held_to_Maturity

Debt Security, Held to Maturity	3 Months Ended
	Mar. 31, 2014
Debt Security, Held to Maturity	'
	5.       Debt Security, Held to Maturity
	The Company owns a $15,000 debt security from a repurchase lending counterparty that matures March 24, 2019.  The debt security pays interest quarterly at the rate of 4.0% above the three-month London Interbank Offered Rate (“LIBOR”).  The Company estimates the fair value of this note to be approximately $14,482 and $14,307 at March 31, 2014 and December 31, 2013, respectively, which was determined by calculating the present value of the projected future cash flows using a discount rate from a similar issuer.

Repurchase_Agreements

Repurchase Agreements	3 Months Ended
	Mar. 31, 2014
Repurchase Agreements	'
	6.       Repurchase Agreements
	At March 31, 2014 and December 31, 2013, the Company had repurchase agreements in place in the amount of $15,183,457 and $16,129,683, respectively, to finance MBS purchases.  As of March 31, 2014 and December 31, 2013, the weighted average interest rate on these borrowings was 0.33% and 0.37%, respectively.   The Company’s repurchase agreements are collateralized by the Company’s agency securities and typically bear interest at rates that are closely related to LIBOR.  At March 31, 2014 and December 31, 2013, the Company had repurchase indebtness outstanding with 25 counterparties, with a weighted average contractual maturity of 0.8 months.  The following table presents the contractual repricing information regarding the Company’s repurchase agreements:
		31-Mar-14					31-Dec-13
				Weighted Average					Weighted Average
		Balance		Contractual Rate			Balance		Contractual Rate
	Within 30 days	$	13,752,842		0.28	%	$	13,170,898		0.37	%
	30 days to 3 months		1,430,615		0.63	%		2,958,785		0.4	%
		$	15,183,457		0.33	%	$	16,129,683		0.37	%
	The fair value of securities, cash, and accrued interest the Company had pledged under repurchase agreements at March 31, 2014 and December 31, 2013 was $15,933,514 and $17,088,392, respectively.
	See Note 2 for a discussion of TBA dollar roll transactions, which represent off-balance sheet financing.

Derivatives_and_Other_Hedging_

Derivatives and Other Hedging Instruments	3 Months Ended
	Mar. 31, 2014
Derivatives and Other Hedging Instruments	'
	7.       Derivatives and Other Hedging Instruments
	In connection with the Company’s risk management strategy, the Company hedges a portion of its interest rate risk by entering into derivative contracts.  The Company may enter into agreements for interest rate swaps, interest rate swaptions, interest rate cap or floor contracts and futures or forward contracts.  The Company’s risk management strategy attempts to manage the overall risk of the portfolio, reduce fluctuations in book value and generate additional income distributable to shareholders.  For additional information regarding the Company’s derivative instruments and its overall risk management strategy, please refer to the discussion of derivative instruments in Note 2.
	The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash receipts (or payments) and the discounted expected variable cash payments (or receipts).  The variable cash payments (or receipts) are based on an expectation of future interest rates (forward curves) derived from observable market interest rate curves.  The fair value of Futures Contracts is based on quoted prices from the exchange on which they trade.  The table below presents the fair value of the Company’s derivative instruments as well as their classification on the consolidated balance sheets as of March 31, 2014 and December 31, 2013, respectively.
	Derivative Instruments	Balance Sheet Location	31-Mar-14				31-Dec-13
	Interest rate swaps	Interest rate swap asset	$	12,703			$	15,841
	Futures contracts	Other assets		5,617				11,148
	Forward purchase commitments	Other assets		2,042				-
	Interest rate swaps	Interest rate swap liability	$	106,132			$	125,133
	Futures contracts	Futures contract liability		48,584				36,733
	Forward purchase commitments including TBA dollar rolls	Accounts payable and other liabilities		13,634				5,741
	Interest Rate Swaps
	The Company finances its activities primarily through repurchase agreements, which are generally settled on a short-term basis, usually from one to three months.  At each settlement date, the Company refinances each repurchase agreement at the market interest rate at that time.  Since the interest rates on its repurchase agreements change on a monthly basis, the Company is constantly exposed to changing interest rates.  Interest rate swaps involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount.  The effect of these hedges is to synthetically lockup interest rates on a portion of the Company’s repurchase agreements for the terms of the swaps.  Although the Company’s objective is to hedge the risk associated with changing repurchase agreement rates, the Company’s swaps are benchmark interest rate swaps which perform with reference to LIBOR.  Therefore, the Company remains at risk to the variability of the spread between repurchase agreement rates and LIBOR interest rates.
	Until September 30, 2013, the Company elected cash flow hedge accounting for its interest rate swaps.  Under cash flow hedge accounting, effective hedge gains or losses are initially recorded in other comprehensive income and subsequently reclassified into net income in the period that the hedged forecasted transaction affects earnings.  Ineffective hedge gains and losses are recorded on a current basis in earnings.  The hedge ineffectiveness is attributable primarily to differences in the reset dates on the Company’s swaps versus the refinancing dates of its repurchase agreements.  See “Financial Statement Presentation” below for quantification of gains and losses for the three months ended March 31, 2014 and 2013.
	On September 30, 2013, the Company de-designated its interest rate swaps as cash flow hedges, thus terminating cash flow hedge accounting.  As long as the forecasted rollovers of the related repurchase agreements are still expected to occur, amounts in AOCI related to the cash flow hedges through September 30, 2013 will remain in AOCI and will continue to be reclassified to interest expense as interest is accrued and paid on the related repurchase agreements.  During the next 12 months, the Company estimates that an additional $72,052 will be reclassified out of AOCI as an increase to interest expense.
	The Company will continue to hedge its exposure to variability in future funding costs via interest rate swaps.  As a result of discontinuing hedge accounting, beginning October 1, 2013, changes in the fair value of the Company’s interest rate swaps are recorded in “Gain (loss) on derivative instruments, net” in the consolidated statements of income, consistent with the Company’s historical accounting for Futures Contracts, as described below.  Monthly net cash settlements under the swaps are also recorded in “Gain (loss) on derivative instruments, net” beginning October 1, 2013.
	The volume of activity for the Company’s interest rate swap instruments is shown in the table below.
		Three Months Ended March 31
		2014				2013
	Notional amount, beginning of period	$	10,700,000			$	10,700,000
	Additions		-				600,000
	Expirations and terminations		(600,000	)			(200,000	)
	Notional amount, end of period	$	10,100,000			$	11,100,000
	As of March 31, 2014, the weighted-average remaining term of the Company’s interest rate swaps is 22 months. Additional information regarding the Company’s interest rate swaps as of March 31, 2014 follows.
							Remaining				Weighted Average
			Notional				Term				Fixed Interest
	Maturity		Amount				in Months				Rate in Contract
	12 months or less		$	2,800,000				8				1.80%
	Over 12 months to 24 months			3,300,000				17				1.53%
	Over 24 months to 36 months			2,400,000				30				0.95%
	Over 36 months to 48 months			1,600,000				41				0.87%
	Total		$	10,100,000				22				1.36%
	Eurodollar Futures Contracts
	The Company uses Futures Contracts to 1) synthetically replicate an interest rate swap, or 2) offset the changes in value of its forward purchases of certain agency securities.  As of March 31, 2014 and December 31, 2013, the fair value of all Futures Contracts was a liability of $(42,967) and $(25,585), respectively.
		Fair Value
		31-Mar-14			31-Dec-13
	Futures Contracts designed to replicate swaps	$	(45,537	)	$	(27,881	)
	Futures Contracts designed to hedge value changes in forward purchases		2,570			2,296
	Total fair market value of Futures Contracts	$	(42,967	)	$	(25,585	)
	The volume of activity for the Company’s Futures Contracts is shown in the table below.
		Number of
		Contracts
	As of December 31, 2013		95,327
	New positions opened		77,821
	Early settlements		(56,817	)
	Settlements at maturity		(2,006	)
	As of March 31, 2014		114,325
	Each Futures Contract embodies $1 million of notional value and is effective for a term of approximately three months.
	The Company has not designated its Futures Contracts as hedges for accounting purposes.  As a result, realized and unrealized changes in fair value thereon are recognized in earnings in the period in which the changes occur.  During the three months ended March 31, 2014, the Company recognized realized and unrealized losses on Futures Contracts of $(18,606) and $(17,382), respectively, in “Gain (loss) on derivative instruments, net.” The Company recognized a realized gain of $51 on Futures Contracts during the three months ended March 31, 2013.
	To Be Announced Securities Purchases
	The Company purchases certain of its investment securities in the forward market.  The Company purchases ARM TBA contracts and 15-year TBA contracts from dealers.  ARM TBA contracts are not a frequently-traded security and are generally used to acquire MBS for the portfolio.  15-year TBA contracts are a highly liquid security, and may be physically settled, net settled or traded as an investment.  The Company also has commitments with various mortgage origination companies to purchase their production as it becomes securitized.  Forward purchases do not qualify for trade date accounting and are considered derivatives for financial statement purposes.  The net fair value of the forward commitment is reported on the balance sheet as an asset (or liability).  Whether the unrealized gain (or loss) is recognized in net income or other comprehensive income depends on whether or not the commitment has been designated as an accounting hedge, as discussed in Note 2.
	The following table shows the ARM securities forward purchase commitments shown as a net asset in other assets on the balance sheets as of March 31, 2014 and December 31, 2013.
			Face			Cost			Fair Value			Net Asset
	31-Mar-14	$	70,000		$	71,839		$	72,040		$	201
	31-Dec-13	$	-		$	-		$	-		$	-
	15-year TBA contracts may be financed in the dollar roll market.  Income from dollar roll transactions and realized and unrealized gains and losses on TBA contracts are recognized in “Gain (loss) on derivative instruments, net.”
	At March 31, 2014 and December 31, 2013, the Company had the following 15-year TBA dollar roll securities:
		Face				Cost				Fair Value			Net Asset
													(Liability)
	March 31, 2014	$	3,400,000			$	3,565,399			$	3,551,765		$	(13,634	)
	December 31, 2013	$	600,000			$	632,270			$	627,187		$	-5,083
	At March 31, 2014 and December 31, 2013, the Company also had estimated purchase commitments with mortgage originators with a net fair value in the amount of $1,841 and ($658), respectively.
	Financial Statement Presentation
	The Company does not use either offsetting or netting to present any of its derivative assets or liabilities.  The following table shows the gross amounts associated with the Company’s derivative financial instruments and the impact if netting were used as of March 31, 2014.
	Assets/(Liabilities)				Cash Collateral Posted				Net Asset/(Liability)
Interest rate swaps	$	12,703			$	-			$	12,703
Futures contracts		5,617				-				5,617
Forward purchase commitments		2,042				-				2,042
Interest rate swaps	$	(106,132	)		$	111,898			$	5,766
Futures contracts		(48,584	)			106,298				57,714
Forward purchase commitments including TBA dollar rolls		(13,634	)			13,395				-239
The following table shows the gross amounts associated with the Company’s derivative financial instruments and the impact if netting were used as of December 31, 2013.
	Assets/(Liabilities)				Cash Collateral Posted				Net Asset/(Liability)
Interest rate swaps	$	15,841			$	-			$	15,841
Futures contracts		11,148				-				11,148
Interest rate swaps	$	(125,133	)		$	133,661			$	8,528
Futures contracts		(36,733	)			77,713				40,980
Forward purchase commitments including TBA dollar rolls		(5,741	)			14,005				8,264
The following table shows the components of “Gain (loss) on derivative instruments, net” for the three months ended March 31, 2014 and 2013.  Impacts from the Company’s interest rate swaps subsequent to the September 30, 2013 hedge de-designation are included herein.
	Three Months Ended March 31
	2014				2013
Interest rate swaps – fair value adjustments	$	15,863			$	-
Interest rate swaps – monthly net settlements		(29,412	)			-
Futures Contracts – fair value adjustments		(17,382	)			-
Futures Contracts – realized gains (losses)		(18,606	)			51
TBA dollar roll income		20,821				-
Realized and unrealized losses on TBA securities		(12,899	)			-
Gain (loss) on derivative instruments, net	$	(41,615	)		$	51
See Note 2 for discussion of dollar roll transactions and dollar roll income.
As discussed above, effective September 30, 2013, the Company discontinued cash flow hedge accounting for its interest rate swaps.  The table below presents the effect of the swaps that were previously designated as cash flow hedges on the Company’s comprehensive income for the three months ended March 31, 2014 and 2013.
	Three Months Ended March 31
	2014				2013
Amount of gain (loss) recognized in OCI (effective portion)	$	-			$	(5,907	)
Amount of loss reclassified from OCI into net income as interest expense (effective portion)		(24,684	)			(29,929	)
Amount of loss recognized in net income as interest expense (ineffective portion)		-				(116	)
The following table presents the impact of the Company’s interest rate swap agreements on the Company’s AOCI for the three months ended March 31, 2014 and the year ended December 31, 2013.
	Three Months Ended March 31, 2014				Year Ended December 31, 2013
Beginning balance	$	(111,174	)		$	(243,051	)
Unrealized gain on interest rate swaps		-				15,030
Reclassification of net losses included in income statement		24,684				116,847
Ending balance	$	(86,490	)		$	(111,174	)
Credit-risk-related Contingent Features
The Company has agreements with certain of its derivative counterparties that contain a provision where if the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender then the Company could also be declared in default on its derivative obligations.
The Company has agreements with certain of its derivative counterparties that contain a provision where if the Company’s GAAP shareholders’ equity declines by a specified percentage over a specified time period, or if the Company fails to maintain a minimum shareholders’ equity threshold, then the Company could be declared in default on its derivative obligations.  The Company has agreements with several of its derivative counterparties that contain provisions regarding maximum leverage ratios.  The most restrictive of these leverage covenants is that if the Company exceeds a leverage ratio of 10 to 1 then the Company could be declared in default on its derivative obligations with that counterparty.  At March 31, 2014, the Company was in compliance with these requirements.
As of March 31, 2014, the fair value of derivatives in a net liability position related to these agreements was $93,429.  The Company has collateral posting requirements with each of its counterparties and all interest rate swap agreements were fully collateralized as of March 31, 2014.

Capital_Stock

Capital Stock	3 Months Ended
	Mar. 31, 2014
Capital Stock	'
	8.       Capital Stock
	Issuance of Common Stock- “At the Market” Programs
	From time to time, the Company may sell shares of its common stock in “at-the-market” offerings.  Sales of shares of common stock, if any, may be made in private transactions, negotiated transactions or any method permitted by law deemed to be an “at the market” offering as defined in Rule 415 under the Securities Act of 1933, as amended, including sales made directly on the New York Stock Exchange or to or through a market maker other than on an exchange.
	On February 29, 2012, the Company entered into sales agreements (the “2012 Sales Agreements”) with Cantor Fitzgerald & Co.  (“Cantor”) and JMP Securities LLC (“JMP”) to establish a new “at-the-market” program (the “2012 Program”).  Under the terms of the 2012 Sales Agreements, the Company may offer and sell up to 10,000,000 shares of its common stock from time to time through Cantor or JMP, each acting as agent and/or principal.  The shares of common stock issuable pursuant to the 2012 Program are registered with the Securities and Exchange Commission on the Company’s Registration Statement on Form S-3 (No.  333-179805), which became effective upon filing on February 29, 2012.
	For the three months ended March 31, 2014 and 2013, the Company did not issue any shares of stock under the 2012 Program.
	Stock Repurchase Program
	On June 18, 2013, the Company’s board of directors authorized a stock repurchase program (the “Repurchase Program”) to acquire up to 10,000,000 shares of the Company’s common stock.  For the three months ended March 31, 2014, the Company repurchased 100,000 shares of common stock under the Repurchase Program in at-the-market transactions at a total cost of $1,912.
	During periods when the Company’s board of directors has authorized the Company to repurchase shares under the Repurchase Program, the Company will not be authorized to issue shares of common stock under the 2012 Program described above.  Similarly, during periods when the Company’s board of directors has authorized the Company to issue shares of common stock under the 2012 Program, the Company will not be authorized to repurchase shares under the Repurchase Program.

Earnings_per_Share

Earnings per Share	3 Months Ended
	Mar. 31, 2014
Earnings per Share	'
	9.      Earnings per Share
	The following table details the Company’s calculation of earnings per share for the three months ended March 31, 2014 and 2013.
		Three Months Ended March 31
		2014			2013
	Basic earnings per share:
	Net income	$	16,798		$	67,239
	Less preferred stock dividends		(5,480	)		(5,480	)
	Net income available to common shareholders	$	11,318		$	61,759
	Weighted average shares		96,606,081			98,827,587
	Basic earnings per share	$	0.12		$	0.62
	Diluted earnings per share:
	Net income	$	16,798		$	67,239
	Less preferred stock dividends for antidilutive shares		(5,480	)		(5,480	)
	Net income available to common shareholders	$	11,318		$	61,759
	Weighted average shares		96,606,081			98,827,587
	Potential dilutive shares from exercise of stock options		-			-
	Diluted weighted average shares		96,606,081			98,827,587
	Diluted earnings per share	$	0.12		$	0.62
	There were no potentially dilutive shares for the three months ended March 31, 2014 and 2013.

Transactions_with_Related_Part

Transactions with Related Parties	3 Months Ended
	Mar. 31, 2014
Transactions with Related Parties	'
	10.      Transactions with Related Parties
	Management Fees
	The Company is externally managed by ACA pursuant to a management agreement (the “Management Agreement”).  All of the Company’s executive officers are also employees of ACA.  ACA manages the Company’s day-to-day operations, subject to the direction and oversight of the Company’s board of directors which includes four independent directors.  The Management Agreement expires on February 23, 2015 and is thereafter automatically renewed for an additional one-year term unless terminated under certain circumstances.  ACA must be provided 180 days prior notice of any such termination and will be paid a termination fee equal to four times the average annual management fee earned by ACA during the two year period immediately preceding termination, calculated as of the end of the most recently completed fiscal quarter prior to the date of termination.
	Under the terms of the Management Agreement, the Company reimburses ACA for certain operating expenses of the Company that are borne by ACA.  ACA is entitled to receive a management fee payable monthly in arrears in an amount equal to 1/12th of an amount determined as follows:
	·	for the Company’s equity up to $250 million, 1.50% (per annum) of equity; plus
	·	for the Company’s equity in excess of $250 million and up to $500 million, 1.10% (per annum) of equity; plus
	·	for the Company’s equity in excess of $500 million and up to $750 million, 0.80% (per annum) of equity; plus
	·	for the Company’s equity in excess of $750 million, 0.50% (per annum) of equity.
	For purposes of calculating the management fee, equity is defined as the value, computed in accordance with GAAP, of shareholders’ equity, adjusted to exclude the effects of unrealized gains or losses.  The following table presents amounts incurred for management fee and reimbursable expenses.
		Three Months Ended March 31
		2014		2013
	Management Fee	$	4,154	$	4,720
	Reimbursable Expenses		812		579
	Total	$	4,966	$	5,299
	None of the reimbursement payments were specifically attributable to the compensation of the Company’s executive officers.  At March 31, 2014 and December 31, 2013, the Company owed ACA $4,986 and $2,752, respectively, for the management fee and reimbursable expenses, which is included in accounts payable and other liabilities.
	In addition, the Company recognized share based compensation expense related to restricted common shares granted to management of $860 and $629 for the three months ended March 31, 2014 and 2013, respectively.

Accumulated_Other_Comprehensiv

Accumulated Other Comprehensive Income	3 Months Ended
	Mar. 31, 2014
Accumulated Other Comprehensive Income	'
	11.      Accumulated Other Comprehensive Income
	The Company records unrealized gains and losses on its agency securities and its TBA securities as described in Note 4.  As discussed in Note 7, the Company ceased hedge accounting for its interest rate swaps effective September 30, 2013.  Beginning October 1, 2013, changes in the fair value of interest rate swaps are recorded directly to net income.  The cumulative unrealized loss on interest rate swaps in AOCI as of September 30, 2013 is being amortized to net income as the hedged forecasted transactions occur.  The following table rolls forward the components of AOCI, including reclassification adjustments, for the three months ended March 31, 2014.
		Unrealized gain/(loss) on available for sale agency securities				Unrealized gain/(loss) on unsettled agency securities				Unrealized gain/(loss) on other investments				Unrealized gain/(loss) on derivative instruments				Total
	Accumulated other comprehensive income (loss) at January 1, 2014	$	109,491			$	-			$	(628	)		$	(116,915	)		$	(8,052	)
	Other comprehensive income (loss) before reclassification		41,701				(186	)			59				2,042				43,616
	Balance Sheet Reclassification:
	Amount reclassified to mortgage-backed securities available for sale		-				-				-				658				658
	Income Statement Reclassification:
	Amounts reclassified to net gain on the sale of mortgage-backed securities		(7,436	)			-				-				-				(7,436	)
	Amounts reclassified for termination of all-in-one cash flow hedge accounting on dollar roll TBAs		-				-				-				5,083				5,083
	Amounts reclassified to interest expense		-				-				-				24,684				24,684
	Net current period other comprehensive income (loss)		34,265				(186	)			59				32,467				66,605
	Accumulated other comprehensive income (loss) at March 31, 2014	$	143,756			$	(186	)		$	(569	)		$	(84,448	)		$	58,553
	The following table rolls forward the components of AOCI, including reclassification adjustments, for the three months ended March 31, 2013.
			Unrealized				Unrealized				Unrealized				Unrealized				Total
			gain/(loss) on				gain/(loss) on				gain/(loss)				gain/(loss)
			available for				unsettled				on other				on
			sale agency				agency				investments				derivative
			securities				securities								instruments
	Beginning balance, accumulated other comprehensive income (loss) at January 1, 2013		$	499,343			$	1,217			$	(107	)		$	(237,599	)		$	262,854
	Other comprehensive income (loss) before reclassifications			(15,520	)			492				(107	)			569				(14,566	)
	Balance Sheet Reclassification:
	Amount reclassified to mortgage-backed securities available for sale			—				(1,217	)			—				(5,452	)			(6,669	)
	Income Statement Reclassifications:
	Amounts reclassified to net gain on the sale of mortgage-backed securities			(2,500	)			—				—				—				(2,500	)
	Amounts reclassified to interest expense			—				—				—				29,929				29,929
	Net current period other comprehensive income (loss)			(18,020	)			(725	)			(107	)			25,046				6,194
	Ending balance, accumulated other comprehensive income (loss) at March 31, 2013		$	481,323			$	492			$	(214	)		$	(212,553	)		$	269,048

Subsequent_Events

Subsequent Events	3 Months Ended
	Mar. 31, 2014
Subsequent Event	'
	12.      Subsequent Event
	On April 1, 2014, the Company purchased 100% of the outstanding stock of a privately-held, non-clearing broker-dealer for a purchase price of $2.4 million.  The purchase price was paid in cash and future purchase price adjustments are not expected.

Summary_of_Significant_Account1

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2014
Basis of Presentation and Use of Estimates	'
	Basis of Presentation and Use of Estimates
	The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X.  Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements.  In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included.  Operating results for the three months ended March 31, 2014 are not necessarily indicative of the results that may be expected for the calendar year ending December 31, 2014.  These unaudited consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2013.
	The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.  Significant estimates affecting the accompanying consolidated financial statements include the valuation of agency securities and derivative instruments.
Principles of Consolidation	'
	Principles of Consolidation
	The consolidated financial statements include the accounts of the Company and all of its subsidiaries.  The Company also considers the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) Topic 810 on Consolidation in determining whether consolidation is appropriate for any interests held in variable interest entities.  All significant intercompany balances and transactions have been eliminated.
Financial Instruments	'
	Financial Instruments
	The Company considers its cash and cash equivalents, restricted cash, agency securities (settled and unsettled), forward purchase commitments, debt security held to maturity, receivable for securities sold, accrued interest receivable, principal payment receivable, payable for unsettled securities, derivative instruments, repurchase agreements, dollar roll liabilities and accrued interest payable to meet the definition of financial instruments.  The carrying amount of cash and cash equivalents, restricted cash, receivable for securities sold, accrued interest receivable, dollar roll liabilities and payable for unsettled securities approximate their fair value due to the short maturities of these instruments and are valued using Level 1 inputs.  The carrying amount of repurchase agreements is deemed to approximate fair value given their short-term duration and are valued using Level 2 inputs.  See Note 4 for discussion of the fair value of agency securities and forward purchase commitments.  See Note 5 for discussion of the fair value of the held to maturity debt security.  See Note 7 for discussion of the fair value of derivative instruments.
	The Company limits its exposure to credit losses on its portfolio of securities by purchasing predominantly agency securities.  The portfolio is diversified to avoid undue exposure to loan originator, geographic and other types of concentration.  The Company manages the risk of prepayments of the underlying mortgages by creating a diversified portfolio with a variety of expected prepayment characteristics.  See Note 4 for additional information on MBS.
	The Company is engaged in various trading and brokerage activities including repurchase agreements, dollar rolls, interest rate swap agreements and futures contracts in which counterparties primarily include broker-dealers, banks, and other financial institutions.  In the event counterparties do not fulfill their obligations, the Company may be exposed to risk of loss.  The risk of default depends on the creditworthiness of the counterparty and/or issuer of the instrument.  It is the Company’s policy to review, as necessary, the credit standing for each counterparty.  See Note 6 for additional information on repurchase agreements and Note 7 for additional information on dollar rolls, interest rate swap agreements and futures contracts.
Mortgage-Backed Securities	'
	Mortgage-Backed Securities
	The Company invests predominantly in agency securities representing interests in or obligations backed by pools of single-family residential mortgage loans.  Guidance under the FASB ASC Topic 820 on Investments requires the Company to classify its investments as either trading, available-for-sale or held-to-maturity securities.  Management determines the appropriate classifications of the securities at the time they are acquired and evaluates the appropriateness of such classifications at each balance sheet date.  The Company currently classifies all of its agency securities as available-for-sale.  All assets that are classified as available-for-sale are carried at fair value and unrealized gains and losses are included in other comprehensive income (loss).  The estimated fair values of agency securities are determined by management by obtaining valuations for its agency securities from independent sources and averaging these valuations.  Security purchase and sale transactions are recorded on the trade date.  Gains or losses realized from the sale of securities are included in income and are determined using the specific identification method.  Firm purchase commitments to acquire “when issued” or to-be-announced (“TBA”) securities are recorded at fair value in accordance with ASC Topic 815, Derivatives and Hedging (“ASC 815”).  The fair value of these purchase commitments is included in other assets or liabilities in the accompanying consolidated balance sheets.  If the Company intends to take physical delivery of the security, the commitment is designated as an all-in-one cash flow hedge and its unrealized gains and losses are recorded in other comprehensive income.  If the Company does not intend to take physical delivery, as is the case with TBA dollar rolls, the commitment is not designated as an accounting hedge and unrealized gains and losses are recorded in “Gain (loss) on derivative instruments, net.”
	The Company assesses its investment securities for other-than-temporary impairment on at least a quarterly basis.  When the fair value of an investment is less than its amortized cost at the balance sheet date the impairment is designated as either “temporary” or “other-than-temporary.” In deciding on whether or not a security is other than temporarily impaired, the Company uses a two-step evaluation process.  First, the Company determines whether it has made any decision to sell a security that is in an unrealized loss position, or, if not, the Company determines whether it is more likely than not that the Company will be required to sell the security prior to recovering its amortized cost basis.  If the answer to either of these questions is “yes” then the security is considered other-than-temporarily impaired.  No impairment losses were recognized during the periods presented.
Derivative Instruments	'
	Derivative Instruments
	The Company manages economic risks, including interest rate, liquidity and credit risks, primarily by managing the amount, sources, cost, and duration of its debt funding.  The objectives of the Company’s risk management strategy are 1) to attempt to mitigate the risk of the cost of its variable rate liabilities increasing during a period of rising interest rates, and 2) to reduce fluctuations in net book value over a range of interest rate scenarios.  The principal instruments that the Company uses to achieve these objectives are interest rate swaps and Eurodollar Futures Contracts (“Futures Contracts”).  The Company uses Futures Contracts to approximate the economic hedging results achieved with interest rate swaps.  The Company does not enter into any of these transactions for speculative purposes.
	The Company accounts for derivative instruments in accordance with ASC 815, which requires an entity to recognize all derivatives as either assets or liabilities and to measure those instruments at fair value.  The accounting for changes in the fair value of derivative instruments depends on whether the instruments are designated and qualify as part of a hedging relationship pursuant to ASC 815.  Changes in fair value related to derivatives not in hedge designated relationships are recorded in “Gain (loss) on derivative instruments, net” in the Company’s consolidated statements of income, whereas changes in fair value related to derivatives in hedge designated relationships are initially recorded in other comprehensive income (loss) and later reclassified to income at the time that the hedged transactions affect earnings.  Any portion of the changes in fair value due to hedge ineffectiveness is immediately recognized in the income statement.
	Derivative instruments in a gain position are reported as derivative assets at fair value and derivative instruments in a loss position are reported as derivative liabilities at fair value in the Company’s consolidated balance sheets.  In the Company’s consolidated statements of cash flows, cash receipts and payments related to derivative instruments are classified according to the underlying nature or purpose of the derivative transaction, generally in the operating section if the derivatives are designated as accounting hedges and in the investing section otherwise.  The use of derivatives creates exposure to credit risk relating to potential losses that could be recognized in the event that the counterparties to these instruments fail to perform their obligations under the contracts.  The Company attempts to minimize this risk by limiting its counterparties to major financial institutions with acceptable credit ratings, monitoring positions with individual counterparties and adjusting posted collateral as required.
	All of the Company’s swaps have historically been accounted for as cash flow hedges under ASC 815.  However, on September 30, 2013, the Company discontinued hedge accounting for its interest rate swap agreements by de-designating the swaps as cash flow hedges.  No swaps were terminated in conjunction with this action, and the Company’s risk management and hedging practices were not impacted.  As a result of discontinuing hedge accounting, beginning October 1, 2013 changes in the fair value of the Company’s interest rate swap agreements are recorded in “Gain (loss) on derivative instruments, net” in the Company’s consolidated statements of income, rather than in other comprehensive income (loss).  Also, net interest paid or received under the swaps, which up through September 30, 2013 was recognized in “interest expense,” is instead recognized in “Gain (loss) on derivative instruments, net.” These swaps continue to be reported as assets or liabilities on the Company’s consolidated balance sheets at their fair value.
	As long as the forecasted transactions that were being hedged (i.e. rollovers of the Company’s repurchase agreement borrowings) are still expected to occur, the balance in accumulated other comprehensive income (AOCI) from swap activity up through September 30, 2013 will remain in AOCI and be recognized in the Company’s consolidated statements of income as “interest expense” over the remaining term of the swaps.  See Note 7 for further information.
	At times, the Company may also enter into TBA contracts as a means of investing in and financing agency securities via “dollar roll” transactions.  TBA dollar roll transactions involve moving the settlement of a TBA contract out to a later date by entering into an offsetting short position (referred to as a “pair off”), net settling the paired off positions for cash, and simultaneously purchasing a similar TBA contract for a later settlement date.  The agency securities purchased at the forward settlement date are typically priced at a discount to securities for settlement in the current month.  This difference is referred to as the “price drop.” The price drop represents compensation to the Company for foregoing net interest margin (interest income less repurchase agreement financing cost) and is referred to as “dollar roll income,” which the Company classifies in “Gain (loss) on derivative instruments, net.” Realized and unrealized gains and losses related to TBA contracts are also recognized in “Gain (loss) on derivative instruments, net.” TBA dollar roll transactions represent off-balance sheet financing.
Repurchase Agreements	'
	Repurchase Agreements
	The Company finances the acquisition of its agency securities through the use of repurchase agreements.  Under these repurchase agreements, the Company sells securities to a lender and agrees to repurchase the same securities in the future for a price that is higher than the original sales price.  The difference between the sale price that the Company receives and the repurchase price that the Company pays represents interest paid to the lender.  Although structured as a sale and repurchase obligation, a repurchase agreement operates as a financing under which the Company pledges its securities as collateral to secure a loan which is equal in value to a specified percentage of the estimated fair value of the pledged collateral.  The Company retains beneficial ownership of the pledged collateral.  At the maturity of a repurchase agreement, the Company is required to repay the loan and concurrently receives back its pledged collateral from the lender or, with the consent of the lender, the Company may renew such agreement at the then prevailing financing rate.  These repurchase agreements may require the Company to pledge additional assets to the lender in the event the estimated fair value of the existing pledged collateral declines.
Dollar Roll Liability	'
	Dollar Roll Liability
	In addition to the TBA dollar roll transactions described above, the Company may from time to time execute dollar roll transactions on agency securities (“CUSIP dollar rolls”).  These transactions represent on-balance sheet financing, presented as “Dollar roll liability” in the Company’s consolidated balance sheets.  During the period of a CUSIP dollar roll, the financed security remains on the Company’s balance sheet, and the components of the net interest margin earned from the price drop are classified in “interest income on mortgage-backed securities” and “interest expense,” respectively.
Offsetting of Assets and Liabilities	'
	Offsetting of Assets and Liabilities
	The Company’s derivative agreements and repurchase agreements generally contain provisions that allow for netting or the offsetting of receivables and payables with each counterparty.  The Company reports amounts in its consolidated balance sheets on a gross basis without regard for such rights of offset or master netting arrangements.
Interest Income	'
	Interest Income
	Interest income is earned and recognized based on the outstanding principal amount of the investment securities and their contractual terms.  Premiums and discounts associated with the purchase of the investment securities are amortized or accreted into interest income over the actual lives of the securities using the effective interest method.
Income Taxes	'
	Income Taxes
	The Company has elected to be taxed as a REIT under the Code.  The Company will generally not be subject to federal income tax to the extent that it distributes 100% of its taxable income, after application of available tax attributes, within the time limits prescribed by the Code and as long as it satisfies the ongoing REIT requirements including meeting certain asset, income and stock ownership tests.  The Company and two of its subsidiaries have made an election to treat these subsidiaries as TRSs.  As such, these TRSs are taxable as domestic C corporations and are subject to federal, state and local income taxes based upon their taxable income.
Share-Based Compensation	'
	Share-Based Compensation
	Share-based compensation is accounted for under the guidance included in the ASC Topic on Stock Compensation.  For share and share-based awards issued to employees, a compensation charge is recorded in earnings based on the fair value of the award.  For transactions with non-employees in which services are performed in exchange for the Company’s common stock or other equity instruments, the transactions are recorded on the basis of the fair value of the service received or the fair value of the equity instruments issued, whichever is more readily measurable at the date of issuance.  The Company’s share-based compensation transactions resulted in compensation expense of $860 and $629 for the three months ended March 31, 2014 and 2013, respectively.
Earnings Per Common Share (EPS)	'
	Earnings Per Common Share (EPS)
	Basic EPS is computed by dividing net income less preferred stock dividends to arrive at net income available to holders of common stock by the weighted average number of shares of common stock outstanding during the period.  Diluted EPS is computed using the two class method, as described in the ASC Topic on Earnings Per Share, which takes into account certain adjustments related to participating securities.  Participating securities are unvested share-based awards that contain rights to receive nonforfeitable dividends, such as those awarded under the Company’s equity incentive plan.  Net income available to holders of common stock after deducting dividends on unvested participating securities if antidilutive, is divided by the weighted average shares of common stock and common equivalent shares outstanding during the period.  For the diluted EPS calculation, common equivalent shares outstanding includes the weighted average number of shares of common stock outstanding adjusted for the effect of dilutive unexercised stock options, if any.

Financial_Instruments_Tables

Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2014
Carrying Values and Fair Values of All Financial Instruments	'
	The carrying values and fair values of all financial instruments as of March 31, 2014 and December 31, 2013 were as follows:
		31-Mar-14				31-Dec-13
		Carrying Value		Fair Value		Carrying Value		Fair Value
	Assets
	Mortgage-backed securities	$	17,137,956	$	17,137,956	$	17,642,532	$	17,642,532
	Cash and cash equivalents		250,258		250,258		763,326		763,326
	Restricted cash		231,591		231,591		225,379		225,379
	Unsettled purchased mortgage backed securities		157,201		157,201		-		-
	Accrued interest receivable		53,629		53,629		55,156		55,156
	Receivable for securities sold		-		-		231,214		231,214
	Principal payments receivable		70,524		70,524		95,021		95,021
	Debt security, held to maturity		15,000		14,482		15,000		14,307
	Interest rate swap asset		12,703		12,703		15,841		15,841
	Futures Contracts*		5,617		5,617		11,148		11,148
	Short term investment*		20,052		20,052		19,910		19,910
	Forward purchase commitments*		2,042		2,042		-		-
	Liabilities
	Repurchase agreements	$	15,183,457		15,183,457	$	16,129,683	$	16,129,683
	Dollar roll liabilities		-		-		351,826		351,826
	Payable for unsettled securities		157,387		157,387		-		-
	Accrued interest payable		3,475		3,475		8,279		8,279
	Interest rate swap liability		106,132		106,132		125,133		125,133
	Futures contract liability		48,584		48,584		36,733		36,733
	Forward purchase commitments**		13,634		13,634		5,741		5,741
	*These lines are included in other assets on the consolidated balance sheets.
	**This line is included in accounts payable and other liabilities on the consolidated balance sheets.

MortgageBacked_Securities_Tabl

Mortgage-Backed Securities (Tables)	3 Months Ended
	Mar. 31, 2014
Schedule of Agency Securities Portfolio Backed by U.S. Government Agency or U.S. Government Sponsored Entity	'
	The Company’s investment portfolio consists of agency securities, which are backed by a U.S. Government agency or a U.S. Government sponsored enterprise.  The following table presents certain information about the Company’s agency securities at March 31, 2014.
		Amortized Cost			Gross Unrealized Loss			Gross Unrealized Gain		Estimated Fair Value
	Agency Securities
	Fannie Mae Certificates
	ARMs	$	9,553,321		$	(36,442	)	$	171,484	$	9,688,363
	Fixed Rate		303,611			(345	)		817		304,083
	Total Fannie Mae		9,856,932			(36,787	)		172,301		9,992,446
	Freddie Mac Certificates
	ARMs		6,964,182			(54,734	)		63,071		6,972,519
	Fixed Rate		173,086			(196	)		101		172,991
	Total Freddie Mac		7,137,268			(54,930	)		63,172		7,145,510
	Total Agency Securities	$	16,994,200		$	(91,717	)	$	235,473	$	17,137,956
	The following table presents certain information about the Company’s agency securities at December 31, 2013.
		Amortized Cost			Gross Unrealized Loss			Gross Unrealized Gain		Estimated Fair Value
	Agency Securities
	Fannie Mae Certificates
	ARMs	$	9,620,743		$	(44,871	)	$	167,848	$	9,743,720
	Fixed Rate		806,312			(1,798	)		3,832		808,346
	Total Fannie Mae		10,427,055			(46,669	)		171,680		10,552,066
	Freddie Mac Certificates
	ARMs		6,671,013			(70,752	)		57,808		6,658,069
	Fixed Rate		338,738			(1,600	)		21		337,159
	Total Freddie Mac		7,009,751			(72,352	)		57,829		6,995,228
	Ginnie Mae Certificates
	ARMs		—			—			—		—
	Fixed Rate		96,236			(998	)		—		95,238
	Total Ginnie Mae		96,236			(998	)		—		95,238
	Total Agency Securities	$	17,533,042		$	(120,019	)	$	229,509	$	17,642,532
Components of Carrying Value of Available-For-Sale Agency Securities	'
	The components of the carrying value of available-for-sale agency securities at March 31, 2014 and December 31, 2013 are presented below.
		31-Mar-14			31-Dec-13
	Principal balance	$	16,525,003		$	17,044,190
	Unamortized premium		469,197			488,854
	Unamortized discount		-			(2	)
	Gross unrealized gains		235,473			229,509
	Gross unrealized losses		(91,717	)		(120,019	)
	Carrying value/estimated fair value	$	17,137,956		$	17,642,532
Schedule of Interest Income	'
	The following table presents components of interest income on the Company’s agency securities portfolio for the three months ended March 31, 2014 and 2013.
		Three Months Ended March 31
		2014			2013
	Coupon interest on MBS	$	118,398		$	167,434
	Net premium amortization		(22,091	)		(43,193	)
	Interest income on MBS, net	$	96,307		$	124,241
Gross Gains and Losses from Securities Sales	'
	Gross gains and losses from sales of securities for the three months ended March 31, 2014 and 2013 were as follows.
		Three Months Ended March 31
		2014			2013
	Gross gains on MBS	$	7,436		$	2,500
	Gross losses on MBS		-			-
	Net gain (loss) on MBS	$	7,436		$	2,500
Schedule of Agency Securities in Unrealized Loss Position	'
	The Company monitors the performance and market value of its agency securities portfolio on an ongoing basis, and on a quarterly basis reviews its agency securities for impairment.  At March 31, 2014 and December 31, 2013, the Company had the following securities in a loss position presented below:
		Less than 12 months						Less than 12 months
		as of March 31, 2014						as of December 31, 2013
		Fair Market			Unrealized			Fair Market		Unrealized
		Value			Loss			Value		Loss
	Fannie Mae Certificates
	ARMs	$	3,133,610		$	(36,442	)	$	3,233,274	$	(44,871	)
	Fixed Rate		171,707			(345	)		281,760		(1,798	)
	Freddie Mac Certificates
	ARMs		3,806,999			(54,734	)		4,046,473		(70,752	)
	Fixed Rate		153,804			(196	)		316,835		(1,600	)
	Ginnie Mae Certificates
	ARMs		-			-			-		-
	Fixed Rate		-			-			95,238		(998	)
	Total temporarily impaired securities	$	7,266,120		$	(91,717	)	$	7,973,580	$	(120,019	)
	Number of securities in an unrealized loss position					233					279

Repurchase_Agreements_Tables

Repurchase Agreements (Tables)	3 Months Ended
	Mar. 31, 2014
Contractual Repricing Information Regarding Repurchase Agreements	'
	At March 31, 2014 and December 31, 2013, the Company had repurchase agreements in place in the amount of $15,183,457 and $16,129,683, respectively, to finance MBS purchases.  As of March 31, 2014 and December 31, 2013, the weighted average interest rate on these borrowings was 0.33% and 0.37%, respectively.   The Company’s repurchase agreements are collateralized by the Company’s agency securities and typically bear interest at rates that are closely related to LIBOR.  At March 31, 2014 and December 31, 2013, the Company had repurchase indebtness outstanding with 25 counterparties, with a weighted average contractual maturity of 0.8 months.  The following table presents the contractual repricing information regarding the Company’s repurchase agreements:
		31-Mar-14					31-Dec-13
				Weighted Average					Weighted Average
		Balance		Contractual Rate			Balance		Contractual Rate
	Within 30 days	$	13,752,842		0.28	%	$	13,170,898		0.37	%
	30 days to 3 months		1,430,615		0.63	%		2,958,785		0.4	%
		$	15,183,457		0.33	%	$	16,129,683		0.37	%

Derivatives_and_Other_Hedging_1

Derivatives and Other Hedging Instruments (Tables)	3 Months Ended
	Mar. 31, 2014
Schedule of Location of Derivatives Instruments on Consolidated Balance Sheet	'
	The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash receipts (or payments) and the discounted expected variable cash payments (or receipts).  The variable cash payments (or receipts) are based on an expectation of future interest rates (forward curves) derived from observable market interest rate curves.  The fair value of Futures Contracts is based on quoted prices from the exchange on which they trade.  The table below presents the fair value of the Company’s derivative instruments as well as their classification on the consolidated balance sheets as of March 31, 2014 and December 31, 2013, respectively.
	Derivative Instruments	Balance Sheet Location	31-Mar-14				31-Dec-13
	Interest rate swaps	Interest rate swap asset	$	12,703			$	15,841
	Futures contracts	Other assets		5,617				11,148
	Forward purchase commitments	Other assets		2,042				-
	Interest rate swaps	Interest rate swap liability	$	106,132			$	125,133
	Futures contracts	Futures contract liability		48,584				36,733
	Forward purchase commitments including TBA dollar rolls	Accounts payable and other liabilities		13,634				5,741
Volume of Activity for the Company's Interest Rate Derivative Instruments	'
	The volume of activity for the Company’s interest rate swap instruments is shown in the table below.
		Three Months Ended March 31
		2014				2013
	Notional amount, beginning of period	$	10,700,000			$	10,700,000
	Additions		-				600,000
	Expirations and terminations		(600,000	)			(200,000	)
	Notional amount, end of period	$	10,100,000			$	11,100,000
Hedging Exposure Future Cash Flows with Interest Rate Swaps for Forecasted Transactions	'
	As of March 31, 2014, the weighted-average remaining term of the Company’s interest rate swaps is 22 months. Additional information regarding the Company’s interest rate swaps as of March 31, 2014 follows.
							Remaining				Weighted Average
			Notional				Term				Fixed Interest
	Maturity		Amount				in Months				Rate in Contract
	12 months or less		$	2,800,000				8				1.80%
	Over 12 months to 24 months			3,300,000				17				1.53%
	Over 24 months to 36 months			2,400,000				30				0.95%
	Over 36 months to 48 months			1,600,000				41				0.87%
	Total		$	10,100,000				22				1.36%
Schedule of Fair Value of Futures Contracts	'
	The Company uses Futures Contracts to 1) synthetically replicate an interest rate swap, or 2) offset the changes in value of its forward purchases of certain agency securities.  As of March 31, 2014 and December 31, 2013, the fair value of all Futures Contracts was a liability of $(42,967) and $(25,585), respectively.
		Fair Value
		31-Mar-14			31-Dec-13
	Futures Contracts designed to replicate swaps	$	(45,537	)	$	(27,881	)
	Futures Contracts designed to hedge value changes in forward purchases		2,570			2,296
	Total fair market value of Futures Contracts	$	(42,967	)	$	(25,585	)
Schedule of Volume of Activity Futures Contracts	'
	The volume of activity for the Company’s Futures Contracts is shown in the table below.
		Number of
		Contracts
	As of December 31, 2013		95,327
	New positions opened		77,821
	Early settlements		(56,817	)
	Settlements at maturity		(2,006	)
	As of March 31, 2014		114,325
Schedule of ARM Securities Forward Purchase Commitments	'
	The following table shows the ARM securities forward purchase commitments shown as a net asset in other assets on the balance sheets as of March 31, 2014 and December 31, 2013.
			Face			Cost			Fair Value			Net Asset
	31-Mar-14	$	70,000		$	71,839		$	72,040		$	201
	31-Dec-13	$	-		$	-		$	-		$	-
Schedule of Mortgage Backed Securities	'
	At March 31, 2014 and December 31, 2013, the Company had the following 15-year TBA dollar roll securities:
		Face				Cost				Fair Value			Net Asset
													(Liability)
	March 31, 2014	$	3,400,000			$	3,565,399			$	3,551,765		$	(13,634	)
	December 31, 2013	$	600,000			$	632,270			$	627,187		$	-5,083
Gross Amounts Associated with Derivative Financial Instruments	'
	The Company does not use either offsetting or netting to present any of its derivative assets or liabilities.  The following table shows the gross amounts associated with the Company’s derivative financial instruments and the impact if netting were used as of March 31, 2014.
		Assets/(Liabilities)				Cash Collateral Posted				Net Asset/(Liability)
	Interest rate swaps	$	12,703			$	-			$	12,703
	Futures contracts		5,617				-				5,617
	Forward purchase commitments		2,042				-				2,042
	Interest rate swaps	$	(106,132	)		$	111,898			$	5,766
	Futures contracts		(48,584	)			106,298				57,714
	Forward purchase commitments including TBA dollar rolls		(13,634	)			13,395				-239
	The following table shows the gross amounts associated with the Company’s derivative financial instruments and the impact if netting were used as of December 31, 2013.
		Assets/(Liabilities)				Cash Collateral Posted				Net Asset/(Liability)
	Interest rate swaps	$	15,841			$	-			$	15,841
	Futures contracts		11,148				-				11,148
	Interest rate swaps	$	(125,133	)		$	133,661			$	8,528
	Futures contracts		(36,733	)			77,713				40,980
	Forward purchase commitments including TBA dollar rolls		(5,741	)			14,005				8,264
Schedule of Derivative Instruments Gain (Loss), Net	'
	The following table shows the components of “Gain (loss) on derivative instruments, net” for the three months ended March 31, 2014 and 2013.  Impacts from the Company’s interest rate swaps subsequent to the September 30, 2013 hedge de-designation are included herein.
		Three Months Ended March 31
		2014				2013
	Interest rate swaps – fair value adjustments	$	15,863			$	-
	Interest rate swaps – monthly net settlements		(29,412	)			-
	Futures Contracts – fair value adjustments		(17,382	)			-
	Futures Contracts – realized gains (losses)		(18,606	)			51
	TBA dollar roll income		20,821				-
	Realized and unrealized losses on TBA securities		(12,899	)			-
	Gain (loss) on derivative instruments, net	$	(41,615	)		$	51
Schedule of Location of Derivatives on Income Statement	'
	As discussed above, effective September 30, 2013, the Company discontinued cash flow hedge accounting for its interest rate swaps.  The table below presents the effect of the swaps that were previously designated as cash flow hedges on the Company’s comprehensive income for the three months ended March 31, 2014 and 2013.
		Three Months Ended March 31
		2014				2013
	Amount of gain (loss) recognized in OCI (effective portion)	$	-			$	(5,907	)
	Amount of loss reclassified from OCI into net income as interest expense (effective portion)		(24,684	)			(29,929	)
	Amount of loss recognized in net income as interest expense (ineffective portion)		-				(116	)
Interest Rate Swap	'
Schedule of Interest Rate Swap Agreements on Accumulated Other Comprehensive Income	'
	The following table presents the impact of the Company’s interest rate swap agreements on the Company’s AOCI for the three months ended March 31, 2014 and the year ended December 31, 2013.
		Three Months Ended March 31, 2014				Year Ended December 31, 2013
	Beginning balance	$	(111,174	)		$	(243,051	)
	Unrealized gain on interest rate swaps		-				15,030
	Reclassification of net losses included in income statement		24,684				116,847
	Ending balance	$	(86,490	)		$	(111,174	)

Earnings_per_Share_Tables

Earnings per Share (Tables)	3 Months Ended
	Mar. 31, 2014
Earnings Per Share	'
	The following table details the Company’s calculation of earnings per share for the three months ended March 31, 2014 and 2013.
		Three Months Ended March 31
		2014			2013
	Basic earnings per share:
	Net income	$	16,798		$	67,239
	Less preferred stock dividends		(5,480	)		(5,480	)
	Net income available to common shareholders	$	11,318		$	61,759
	Weighted average shares		96,606,081			98,827,587
	Basic earnings per share	$	0.12		$	0.62
	Diluted earnings per share:
	Net income	$	16,798		$	67,239
	Less preferred stock dividends for antidilutive shares		(5,480	)		(5,480	)
	Net income available to common shareholders	$	11,318		$	61,759
	Weighted average shares		96,606,081			98,827,587
	Potential dilutive shares from exercise of stock options		-			-
	Diluted weighted average shares		96,606,081			98,827,587
	Diluted earnings per share	$	0.12		$	0.62

Transactions_with_Related_Part1

Transactions with Related Parties (Tables)	3 Months Ended
	Mar. 31, 2014
Amounts Incurred for Management Fee and Reimbursable Expenses	'
	For purposes of calculating the management fee, equity is defined as the value, computed in accordance with GAAP, of shareholders’ equity, adjusted to exclude the effects of unrealized gains or losses.  The following table presents amounts incurred for management fee and reimbursable expenses.
		Three Months Ended March 31
		2014		2013
	Management Fee	$	4,154	$	4,720
	Reimbursable Expenses		812		579
	Total	$	4,966	$	5,299

Accumulated_Other_Comprehensiv1

Accumulated Other Comprehensive Income (Tables)	3 Months Ended
	Mar. 31, 2014
Components of Accumulated Other Comprehensive Income	'
	The Company records unrealized gains and losses on its agency securities and its TBA securities as described in Note 4.  As discussed in Note 7, the Company ceased hedge accounting for its interest rate swaps effective September 30, 2013.  Beginning October 1, 2013, changes in the fair value of interest rate swaps are recorded directly to net income.  The cumulative unrealized loss on interest rate swaps in AOCI as of September 30, 2013 is being amortized to net income as the hedged forecasted transactions occur.  The following table rolls forward the components of AOCI, including reclassification adjustments, for the three months ended March 31, 2014.
		Unrealized gain/(loss) on available for sale agency securities				Unrealized gain/(loss) on unsettled agency securities				Unrealized gain/(loss) on other investments				Unrealized gain/(loss) on derivative instruments				Total
	Accumulated other comprehensive income (loss) at January 1, 2014	$	109,491			$	-			$	(628	)		$	(116,915	)		$	(8,052	)
	Other comprehensive income (loss) before reclassification		41,701				(186	)			59				2,042				43,616
	Balance Sheet Reclassification:
	Amount reclassified to mortgage-backed securities available for sale		-				-				-				658				658
	Income Statement Reclassification:
	Amounts reclassified to net gain on the sale of mortgage-backed securities		(7,436	)			-				-				-				(7,436	)
	Amounts reclassified for termination of all-in-one cash flow hedge accounting on dollar roll TBAs		-				-				-				5,083				5,083
	Amounts reclassified to interest expense		-				-				-				24,684				24,684
	Net current period other comprehensive income (loss)		34,265				(186	)			59				32,467				66,605
	Accumulated other comprehensive income (loss) at March 31, 2014	$	143,756			$	(186	)		$	(569	)		$	(84,448	)		$	58,553
	The following table rolls forward the components of AOCI, including reclassification adjustments, for the three months ended March 31, 2013.
			Unrealized				Unrealized				Unrealized				Unrealized				Total
			gain/(loss) on				gain/(loss) on				gain/(loss)				gain/(loss)
			available for				unsettled				on other				on
			sale agency				agency				investments				derivative
			securities				securities								instruments
	Beginning balance, accumulated other comprehensive income (loss) at January 1, 2013		$	499,343			$	1,217			$	(107	)		$	(237,599	)		$	262,854
	Other comprehensive income (loss) before reclassifications			(15,520	)			492				(107	)			569				(14,566	)
	Balance Sheet Reclassification:
	Amount reclassified to mortgage-backed securities available for sale			—				(1,217	)			—				(5,452	)			(6,669	)
	Income Statement Reclassifications:
	Amounts reclassified to net gain on the sale of mortgage-backed securities			(2,500	)			—				—				—				(2,500	)
	Amounts reclassified to interest expense			—				—				—				29,929				29,929
	Net current period other comprehensive income (loss)			(18,020	)			(725	)			(107	)			25,046				6,194
	Ending balance, accumulated other comprehensive income (loss) at March 31, 2013		$	481,323			$	492			$	(214	)		$	(212,553	)		$	269,048

Organization_and_Business_Desc1

Organization and Business Description - Additional Information (Details)	3 Months Ended
	Mar. 31, 2014
Organization And Summary Of Significant Accounting Policies [Line Items]	'
Distributions from taxable income	100.00%

Summary_of_Significant_Account2

Summary of Significant Accounting Policies - Additional Information (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Significant Accounting Policies [Line Items]	'	'
Distributes from taxable income	100.00%	'
Share based compensation expense	$860	$629

Carrying_Values_and_Fair_Value

Carrying Values and Fair Values of All Financial Instruments (Details) (USD $)	Mar. 31, 2014		Dec. 31, 2013		Mar. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Fair Value Of Financial Instruments [Line Items]	'		'		'	'
Mortgage-backed securities	$17,137,956		$17,642,532		'	'
Cash and cash equivalents	250,258		763,326		315,253	168,424
Restricted cash	231,591		225,379		'	'
Unsettled purchased mortgage-backed securities, at fair value	157,201		'		'	'
Accrued interest receivable	53,629		55,156		'	'
Receivable for securities sold	'		231,214		'	'
Principal payments receivable	70,524		95,021		'	'
Debt security, held to maturity	15,000		15,000		'	'
Interest rate swap asset	12,703		15,841		'	'
Futures Contracts	5,617		11,148		'	'
Forward purchase commitments	2,042		0		'	'
Repurchase agreements	15,183,457		16,129,683		'	'
Dollar roll liabilities	'		351,826		'	'
Payable for unsettled securities	157,387		'		'	'
Accrued interest payable	3,475		8,279		'	'
Interest rate swap liability	106,132		125,133		'	'
Futures contract liability	48,584		36,733		'	'
Forward purchase commitments	13,634		5,741		'	'
Carrying (Reported) Amount, Fair Value Disclosure	'		'		'	'
Fair Value Of Financial Instruments [Line Items]	'		'		'	'
Mortgage-backed securities	17,137,956		17,642,532		'	'
Cash and cash equivalents	250,258		763,326		'	'
Restricted cash	231,591		225,379		'	'
Unsettled purchased mortgage-backed securities, at fair value	157,201		0		'	'
Accrued interest receivable	53,629		55,156		'	'
Receivable for securities sold	0		231,214		'	'
Principal payments receivable	70,524		95,021		'	'
Debt security, held to maturity	15,000		15,000		'	'
Interest rate swap asset	12,703		15,841		'	'
Futures Contracts	5,617	[1]	11,148	[1]	'	'
Short term investment	20,052	[1]	19,910	[1]	'	'
Forward purchase commitments	2,042	[1]	0	[1]	'	'
Repurchase agreements	15,183,457		16,129,683		'	'
Dollar roll liabilities	0		351,826		'	'
Payable for unsettled securities	157,387		0		'	'
Accrued interest payable	3,475		8,279		'	'
Interest rate swap liability	106,132		125,133		'	'
Futures contract liability	48,584		36,733		'	'
Forward purchase commitments	13,634	[2]	5,741	[2]	'	'
Estimate of Fair Value, Fair Value Disclosure	'		'		'	'
Fair Value Of Financial Instruments [Line Items]	'		'		'	'
Mortgage-backed securities	17,137,956		17,642,532		'	'
Cash and cash equivalents	250,258		763,326		'	'
Restricted cash	231,591		225,379		'	'
Unsettled purchased mortgage-backed securities, at fair value	157,201		0		'	'
Accrued interest receivable	53,629		55,156		'	'
Receivable for securities sold	0		231,214		'	'
Principal payments receivable	70,524		95,021		'	'
Debt security, held to maturity	14,482		14,307		'	'
Interest rate swap asset	12,703		15,841		'	'
Futures Contracts	5,617	[1]	11,148	[1]	'	'
Short term investment	20,052	[1]	19,910	[1]	'	'
Forward purchase commitments	2,042	[1]	0	[1]	'	'
Repurchase agreements	15,183,457		16,129,683		'	'
Dollar roll liabilities	0		351,826		'	'
Payable for unsettled securities	157,387		0		'	'
Accrued interest payable	3,475		8,279		'	'
Interest rate swap liability	106,132		125,133		'	'
Futures contract liability	48,584		36,733		'	'
Forward purchase commitments	$13,634	[2]	$5,741	[2]	'	'
[1]	These lines are included in other assets on the consolidated balance sheets.
[2]	This line is included in accounts payable and other liabilities on the consolidated balance sheets.

Schedule_of_Agency_Securities_

Schedule of Agency Securities Portfolio Backed by U.S. Government Agency or U.S. Government Sponsored Entity (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	$16,994,200	$17,533,042
Gross Unrealized Loss	-91,717	-120,019
Gross Unrealized Gain	235,473	229,509
Carrying value/estimated fair value	17,137,956	17,642,532
Federal National Mortgage Association Certificates and Obligations (FNMA)	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	9,856,932	10,427,055
Gross Unrealized Loss	-36,787	-46,669
Gross Unrealized Gain	172,301	171,680
Carrying value/estimated fair value	9,992,446	10,552,066
Freddie Mac Certificates	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	7,137,268	7,009,751
Gross Unrealized Loss	-54,930	-72,352
Gross Unrealized Gain	63,172	57,829
Carrying value/estimated fair value	7,145,510	6,995,228
Government National Mortgage Association Certificates and Obligations (GNMA)	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	'	96,236
Gross Unrealized Loss	'	-998
Gross Unrealized Gain	'	'
Carrying value/estimated fair value	'	95,238
Fannie Mae Certificates, ARMs | Federal National Mortgage Association Certificates and Obligations (FNMA)	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	9,553,321	9,620,743
Gross Unrealized Loss	-36,442	-44,871
Gross Unrealized Gain	171,484	167,848
Carrying value/estimated fair value	9,688,363	9,743,720
Fannie Mae Certificates, Fixed Rate | Federal National Mortgage Association Certificates and Obligations (FNMA)	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	303,611	806,312
Gross Unrealized Loss	-345	-1,798
Gross Unrealized Gain	817	3,832
Carrying value/estimated fair value	304,083	808,346
Freddie Mac Certificates, ARMs | Freddie Mac Certificates	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	6,964,182	6,671,013
Gross Unrealized Loss	-54,734	-70,752
Gross Unrealized Gain	63,071	57,808
Carrying value/estimated fair value	6,972,519	6,658,069
Freddie Mac Certificates, Fixed Rate | Freddie Mac Certificates	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	173,086	338,738
Gross Unrealized Loss	-196	-1,600
Gross Unrealized Gain	101	21
Carrying value/estimated fair value	172,991	337,159
Ginnie Mae Certificates, Arms | Government National Mortgage Association Certificates and Obligations (GNMA)	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	'	'
Gross Unrealized Loss	'	'
Gross Unrealized Gain	'	'
Carrying value/estimated fair value	'	'
Ginnie Mae Certificates, Fixed Rate | Government National Mortgage Association Certificates and Obligations (GNMA)	'	'
Schedule Of Available For Sale Securities [Line Items]	'	'
Agency Securities Amortized Cost	'	96,236
Gross Unrealized Loss	'	-998
Gross Unrealized Gain	'	'
Carrying value/estimated fair value	'	$95,238

Components_of_Carrying_Value_o

Components of Carrying Value of Available-For-Sale Agency Securities (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Schedule Of Available For Sale Securities [Line Items]	'	'
Principal balance	$16,525,003	$17,044,190
Unamortized premium	469,197	488,854
Unamortized discount	'	-2
Gross Unrealized Gain	235,473	229,509
Gross unrealized losses	-91,717	-120,019
Carrying value/estimated fair value	$17,137,956	$17,642,532

Schedule_Of_Interest_Income_De

Schedule Of Interest Income (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Schedule Of Gain Loss On Investments Including Marketable Securities And Investments Held At Cost Income Statement Reported Amounts Summary [Line Items]	'	'
Coupon interest on MBS	$118,398	$167,434
Net premium amortization	-22,091	-43,193
Interest income on mortgage-backed securities	$96,307	$124,241

Gross_Gains_and_Losses_from_In

Gross Gains and Losses from Investment Sales (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Gains Losses On Investments [Line Items]	'	'
Net realized gain on sale of mortgage-backed securities	$7,436	$2,500
Collateralized Mortgage Backed Securities	'	'
Gains Losses On Investments [Line Items]	'	'
Gross gains on MBS	7,436	2,500
Gross losses on MBS	'	'

Schedule_of_Agency_Securities_1

Schedule of Agency Securities in Unrealized Loss Position (Details) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
	Securities	Securities
Investments Unrealized Loss Position [Line Items]	'	'
Fair Market Value - Less than 12 months	$7,266,120	$7,973,580
Unrealized Loss - Less than 12 months	-91,717	-120,019
Number of securities in an unrealized loss position	233	279
Fannie Mae Certificates, ARMs	'	'
Investments Unrealized Loss Position [Line Items]	'	'
Fair Market Value - Less than 12 months	3,133,610	3,233,274
Unrealized Loss - Less than 12 months	-36,442	-44,871
Fannie Mae Certificates, Fixed Rate	'	'
Investments Unrealized Loss Position [Line Items]	'	'
Fair Market Value - Less than 12 months	171,707	281,760
Unrealized Loss - Less than 12 months	-345	-1,798
Freddie Mac Certificates, ARMs	'	'
Investments Unrealized Loss Position [Line Items]	'	'
Fair Market Value - Less than 12 months	3,806,999	4,046,473
Unrealized Loss - Less than 12 months	-54,734	-70,752
Freddie Mac Certificates, Fixed Rate	'	'
Investments Unrealized Loss Position [Line Items]	'	'
Fair Market Value - Less than 12 months	153,804	316,835
Unrealized Loss - Less than 12 months	-196	-1,600
Ginnie Mae Certificates, Arms	'	'
Investments Unrealized Loss Position [Line Items]	'	'
Fair Market Value - Less than 12 months	'	'
Unrealized Loss - Less than 12 months	'	'
Ginnie Mae Certificates, Fixed Rate	'	'
Investments Unrealized Loss Position [Line Items]	'	'
Fair Market Value - Less than 12 months	'	95,238
Unrealized Loss - Less than 12 months	'	($998)

MortgageBacked_Securities_Addi

Mortgage-Backed Securities - Additional Information (Details)	3 Months Ended
	Mar. 31, 2014
Minimum	'
Investments Classified By Contractual Maturity Date [Line Items]	'
Contractual maturity of Company's agency securities, in years	'15 years
Maximum	'
Investments Classified By Contractual Maturity Date [Line Items]	'
Contractual maturity of Company's agency securities, in years	'30 years

Debt_Security_Held_to_Maturity1

Debt Security Held to Maturity - Additional Information (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Schedule Of Held To Maturity Securities [Line Items]	'	'
Debt security, held to maturity, at cost	$15,000	$15,000
Maturity date	24-Mar-19	'
Debt security bears interest at the rate	'The debt security pays interest quarterly at the rate of 4.0% above the three-month London Interbank Offered Rate (“LIBOR”)	'
Debt security, held to maturity, fair value	$14,482	$14,307
Debt security, held to maturity, stated interest rate	4.00%	'

Repurchase_Agreements_Addition

Repurchase Agreements - Additional Information (Details) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
	Person	Person
Repurchase Agreement Counterparty [Line Items]	'	'
Number of counterparties in repurchase agreements	25	25
Weighted average contractual maturity of the repurchase agreements outstanding (in months)	'24 days	'24 days
Repurchase agreements	$15,183,457	$16,129,683
Weighted Average Contractual Rate	0.33%	0.37%
Fair value of assets pledged as collateral under repurchase agreements	$15,933,514	$17,088,392

Contractual_Repricing_Informat

Contractual Repricing Information Regarding Repurchase Agreements (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Repurchase Agreement Counterparty [Line Items]	'	'
Balance, repurchase agreement	$15,183,457	$16,129,683
Weighted Average Contractual Rate	0.33%	0.37%
Within 30 days	'	'
Repurchase Agreement Counterparty [Line Items]	'	'
Balance, repurchase agreement	13,752,842	13,170,898
Weighted Average Contractual Rate	0.28%	0.37%
30 days to 3 months	'	'
Repurchase Agreement Counterparty [Line Items]	'	'
Balance, repurchase agreement	$1,430,615	$2,958,785
Weighted Average Contractual Rate	0.63%	0.40%

Schedule_of_Location_of_Deriva

Schedule of Location of Derivatives on Balance Sheet (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Derivative [Line Items]	'	'
Interest rate swap asset	$12,703	$15,841
Future contracts - Asset Derivatives found in Other Assets	5,617	11,148
Forward purchase commitments - Asset Derivatives found in Other Assets	2,042	0
Interest rate swap liability	106,132	125,133
Futures contracts - Asset Derivatives found in Futures contract liability	48,584	36,733
Forward purchase commitments including TBA dollar rolls - Accounts payable and other liabilities	$13,634	$5,741

Recovered_Sheet1

Derivatives and other Hedging Instruments - Additional Information (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Derivative [Line Items]	'	'	'
Estimated amount related to derivatives reclassified to interest expense during the next 12 months	$72,052	'	'
The weighted-average remaining term of swaps	'22 months	'	'
Total fair market value of Futures Contracts	-42,967	'	-25,585
Realized loss on futures contracts	-41,615	51	'
Maximum leverage ratio the Company can reach before it could be in default of one of its derivative obligations	1000.00%	'	'
Other Purchase Commitment	'	'	'
Derivative [Line Items]	'	'	'
Derivatives	1,841	'	-658
Eurodollar Future	'	'	'
Derivative [Line Items]	'	'	'
Total fair market value of Futures Contracts	-42,967	'	-25,585
Notional Amount	1,000	'	'
Realized loss on futures contracts	-18,606	'	'
Unrealized loss on futures contracts	-17,382	'	'
Fair value of derivatives in net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to agreements	$93,429	'	'

Volume_of_Activity_for_Interes

Volume of Activity for Interest Rate Derivative Instruments (Details) (Interest Rate Swap, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Interest Rate Swap	'	'
Derivative [Line Items]	'	'
Notional amount, beginning of period	$10,700,000	$10,700,000
Additions	0	600,000
Expirations and terminations	-600,000	-200,000
Notional amount, end of period	$10,100,000	$11,100,000

Hedging_Exposure_Future_Cash_F

Hedging Exposure Future Cash Flows with Interest Rate Swaps For Forecasted Transactions (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014
Derivative Instruments Gain Loss [Line Items]	'
Remaining Term in Months	'22 months
Weighted Average Fixed Interest Rate in Contract	1.36%
Cash Flow Hedging	'
Derivative Instruments Gain Loss [Line Items]	'
Notional Amount	10,100,000
12 Months or Less	'
Derivative Instruments Gain Loss [Line Items]	'
Remaining Term in Months	'8 months
Weighted Average Fixed Interest Rate in Contract	1.80%
Maturity - lower remaining maturity range	'0 months
Maturity - higher remaining maturity range	'12 months
12 Months or Less | Cash Flow Hedging	'
Derivative Instruments Gain Loss [Line Items]	'
Notional Amount	2,800,000
Over 12 Months to 24 Months	'
Derivative Instruments Gain Loss [Line Items]	'
Remaining Term in Months	'17 months
Weighted Average Fixed Interest Rate in Contract	1.53%
Maturity - lower remaining maturity range	'12 months
Maturity - higher remaining maturity range	'24 months
Over 12 Months to 24 Months | Cash Flow Hedging	'
Derivative Instruments Gain Loss [Line Items]	'
Notional Amount	3,300,000
Over 24 Months to 36 Months	'
Derivative Instruments Gain Loss [Line Items]	'
Remaining Term in Months	'30 months
Weighted Average Fixed Interest Rate in Contract	0.95%
Maturity - lower remaining maturity range	'24 months
Maturity - higher remaining maturity range	'36 months
Over 24 Months to 36 Months | Cash Flow Hedging	'
Derivative Instruments Gain Loss [Line Items]	'
Notional Amount	2,400,000
Over 36 Months to 48 Months	'
Derivative Instruments Gain Loss [Line Items]	'
Remaining Term in Months	'41 months
Weighted Average Fixed Interest Rate in Contract	0.87%
Maturity - lower remaining maturity range	'36 months
Maturity - higher remaining maturity range	'48 months
Over 36 Months to 48 Months | Cash Flow Hedging	'
Derivative Instruments Gain Loss [Line Items]	'
Notional Amount	1,600,000

Schedule_of_Fair_Value_of_All_

Schedule of Fair Value of All Futures Contracts (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Derivative [Line Items]	'	'
Total fair market value of Futures Contracts	($42,967)	($25,585)
Futures Contracts Designed to Replicate Swaps	'	'
Derivative [Line Items]	'	'
Total fair market value of Futures Contracts	-45,537	-27,881
Futures Contracts Designed to Hedge Value Changes in Forward Purchases	'	'
Derivative [Line Items]	'	'
Total fair market value of Futures Contracts	$2,570	$2,296

Schedule_of_Volume_of_Activity

Schedule of Volume of Activity Futures Contracts (Details) (Eurodollar Future)	3 Months Ended
	Mar. 31, 2014
	Contract
Eurodollar Future	'
Derivatives Fair Value [Line Items]	'
Number of contracts, Beginning balance	95,327
New positions opened	77,821
Early settlements	-56,817
Settlements at maturity	-2,006
Number of contracts, Ending balance	114,325

Schedule_of_ARM_Securities_For

Schedule of ARM Securities Forward Purchase Commitments (Details) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Schedule Of Investment Income Reported Amounts By Category [Line Items]	'	'
Forward purchase agreements - Face	$70,000	$0
Forward purchase agreements - Cost	71,839	0
Forward purchase agreements - Fair Value	72,040	0
Forward purchase agreements - Net Asset	$201	$0

Schedule_of_Mortgage_Backed_Se

Schedule of Mortgage Backed Securities (Details) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Schedule Of Investment Income Reported Amounts By Category [Line Items]	'	'
TBA dollar roll securities - Face	$3,400,000	$600,000
TBA dollar roll securities - Cost	3,565,399	632,270
TBA dollar roll securities - Fair Value	3,551,765	627,187
TBA dollar roll securities - Net Asset (Liability)	($13,634)	($5,083)

Gross_Amounts_Associated_with_

Gross Amounts Associated with Derivative Financial Instruments (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Interest Rate Swap	'	'
Derivative [Line Items]	'	'
Assets/(Liabilities)	$12,703	$15,841
Cash Collateral Posted	0	0
Net Asset/(Liability)	12,703	15,841
Futures Contracts	'	'
Derivative [Line Items]	'	'
Assets/(Liabilities)	5,617	11,148
Cash Collateral Posted	0	0
Net Asset/(Liability)	5,617	11,148
Forward Purchase Commitments	'	'
Derivative [Line Items]	'	'
Assets/(Liabilities)	2,042	'
Cash Collateral Posted	0	'
Net Asset/(Liability)	2,042	'
Second Interest Rate Swap	'	'
Derivative [Line Items]	'	'
Cash Collateral Posted	111,898	133,661
Net Asset/(Liability)	5,766	8,528
Assets/(Liabilities)	-106,132	-125,133
Second Futures Contracts	'	'
Derivative [Line Items]	'	'
Cash Collateral Posted	106,298	77,713
Net Asset/(Liability)	57,714	40,980
Assets/(Liabilities)	-48,584	-36,733
Forward purchase commitments including TBA dollar rolls	'	'
Derivative [Line Items]	'	'
Cash Collateral Posted	13,395	14,005
Net Asset/(Liability)	-239	8,264
Assets/(Liabilities)	($13,634)	($5,741)

The_Components_of_Gain_Loss_on

The Components of Gain (Loss) on Derivative Instruments Net (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Derivative Instruments Gain Loss [Line Items]	'	'
Gain (loss) on derivative instruments, net	($41,615)	$51
Interest Rate Swap	'	'
Derivative Instruments Gain Loss [Line Items]	'	'
Fair value adjustments	15,863	0
Monthly net settlements	-29,412	0
Futures Contracts	'	'
Derivative Instruments Gain Loss [Line Items]	'	'
Fair value adjustments	-17,382	0
Realized gains (losses)	-18,606	51
TBA Dollar Roll	'	'
Derivative Instruments Gain Loss [Line Items]	'	'
TBA dollar roll income	20,821	0
TBA contracts	'	'
Derivative Instruments Gain Loss [Line Items]	'	'
Realized and unrealized losses	($12,899)	$0

Schedule_of_Location_of_Deriva1

Schedule of Location of Derivatives on Income Statement (Details) (Interest Rate Contract, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Interest Rate Contract	'	'
Derivative Instruments And Hedging Activities Disclosures [Line Items]	'	'
Amount of gain (loss) recognized in OCI (effective portion)	'	($5,907)
Amount of loss reclassified from OCI into net income as interest expense (effective portion)	-24,684	-29,929
Amount of loss recognized in net income as interest expense (ineffective portion)	'	($116)

Schedule_of_Interest_Rate_Swap

Schedule of Interest Rate Swap Agreements on Accumulated Other Comprehensive Income (Details) (Interest Rate Swap, USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Interest Rate Swap	'	'
Derivative Instruments And Hedging Activities Disclosures [Line Items]	'	'
Beginning balance	($111,174)	($243,051)
Unrealized gain on interest rate swaps	0	15,030
Reclassification of net losses included in income statement	24,684	116,847
Ending balance	($86,490)	($111,174)

Capital_Stock_Additional_Infor

Capital Stock - Additional Information (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014	Jun. 18, 2013	Dec. 31, 2012
In Thousands, except Share data, unless otherwise specified			Repurchase Program	Repurchase Program	2012 Program
Class Of Stock [Line Items]	'	'	'	'	'
Common stock available for sale	200,000,000	200,000,000	'	'	10,000,000
Common stock share authorized to repurchase	'	'	'	10,000,000	'
Stock repurchased during period, shares	'	'	100,000	'	'
Stock repurchased during period, value	'	'	$1,912	'	'

Earnings_per_Share_Details

Earnings per Share (Details) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Basic earnings per share:	'	'
Net income	$16,798	$67,239
Less preferred stock dividends	-5,480	-5,480
Net income available to common shareholders	11,318	61,759
Weighted average shares	96,606,081	98,827,587
Basic earnings per share	$0.12	$0.62
Diluted earnings per share:	'	'
Net income	16,798	67,239
Less preferred stock dividends	-5,480	-5,480
Net income available to common shareholders	$11,318	$61,759
Weighted average shares	96,606,081	98,827,587
Potential dilutive shares from exercise of stock options	'	'
Diluted weighted average shares	96,606,081	98,827,587
Diluted earnings per share	$0.12	$0.62

Transactions_with_Related_Part2

Transactions with Related Parties - Additional Information (Details) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
	Person
Related Party Transaction [Line Items]	'	'	'
Number of independent directors	4	'	'
Management agreement initial expiration date	'2015-02-23	'	'
Management agreement additional term of expiration	'1 year	'	'
Prior notice for uncertain termination (in days)	'P180D	'	'
Proportion of average annual management fee	400.00%	'	'
Period of annual management fees earned (in years)	'2 years	'	'
Management fee payable	$4,986,000	'	$2,752,000
Share based compensation	860,000	629,000	'
Company's Equity Up To $250 Million	'	'	'
Related Party Transaction [Line Items]	'	'	'
Management fee payable	250,000,000	'	'
Management fee bases per annum	1.50%	'	'
Company's Equity In Excess Of $250 Million And Up To $500 Million	'	'	'
Related Party Transaction [Line Items]	'	'	'
Management fee payable	500,000,000	'	'
Management fee bases per annum	1.10%	'	'
Management fee payable, minimum	250,000,000	'	'
Company's Equity In Excess Of $500 Million And Up To $750 Million	'	'	'
Related Party Transaction [Line Items]	'	'	'
Management fee payable	750,000,000	'	'
Management fee bases per annum	0.80%	'	'
Management fee payable, minimum	500,000,000	'	'
Company's Equity In Excess Of $750 Million	'	'	'
Related Party Transaction [Line Items]	'	'	'
Management fee payable	$750,000,000	'	'
Management fee bases per annum	0.50%	'	'

Amounts_Incurred_for_Managemen

Amounts Incurred for Management Fee and Reimbursable Expenses (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Related Party Transaction [Line Items]	'	'
Management fee	$4,154	$4,720
Reimbursable Expenses	812	579
Total Expenses	$4,966	$5,299

Accumulated_Other_Comprehensiv2

Accumulated Other Comprehensive Income (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Accumulated Other Comprehensive Income Loss [Line Items]	'	'
Beginning balance accumulated other comprehensive income (loss)	($8,052)	$262,854
Other comprehensive income (loss) before reclassifications	43,616	-14,566
Amounts reclassified to net gain on the sale of mortgage-backed securities	658	-6,669
Amounts reclassified for termination of all-in-one cash flow hedge accounting on dollar roll TBAs	5,083	'
Amounts reclassified to net gain on the sale of mortgage-backed securities	-7,436	-2,500
Amounts reclassified to interest expense	24,684	29,929
Net current period other comprehensive income (loss)	32,467	25,046
Other comprehensive income (loss)	66,605	6,194
Ending balance accumulated other comprehensive income (loss)	58,553	269,048
Derivative Instruments	'	'
Accumulated Other Comprehensive Income Loss [Line Items]	'	'
Beginning balance	-116,915	-237,599
Amounts reclassified for termination of all-in-one cash flow hedge accounting on dollar roll TBAs	5,083	'
Other comprehensive income (loss) before reclassification	2,042	569
Amount reclassified to mortgage-backed securities available for sale	658	-5,452
Amounts reclassified to net gain on the sale of mortgage-backed securities	'	'
Amounts reclassified to interest expense	24,684	29,929
Net current period other comprehensive income (loss)	32,467	25,046
Ending balance	-84,448	-212,553
Other Investments	'	'
Accumulated Other Comprehensive Income Loss [Line Items]	'	'
Beginning balance accumulated other comprehensive income (loss)	-628	-107
Other comprehensive income (loss) before reclassification	59	-107
Amount reclassified to mortgage-backed securities available for sale	'	'
Amounts reclassified to net gain on the sale of mortgage-backed securities	'	'
Amounts reclassified for termination of all-in-one cash flow hedge accounting on dollar roll TBAs	'	'
Net current period other comprehensive income (loss)	59	-107
Ending balance accumulated other comprehensive income (loss)	-569	-214
Available-for-sale Securities	'	'
Accumulated Other Comprehensive Income Loss [Line Items]	'	'
Beginning balance accumulated other comprehensive income (loss)	109,491	499,343
Other comprehensive income (loss) before reclassification	41,701	-15,520
Amount reclassified to mortgage-backed securities available for sale	'	'
Amounts reclassified to net gain on the sale of mortgage-backed securities	-7,436	-2,500
Amounts reclassified for termination of all-in-one cash flow hedge accounting on dollar roll TBAs	'	'
Net current period other comprehensive income (loss)	34,265	-18,020
Ending balance accumulated other comprehensive income (loss)	143,756	481,323
Unsettled Agency Contracts	'	'
Accumulated Other Comprehensive Income Loss [Line Items]	'	'
Beginning balance accumulated other comprehensive income (loss)	'	1,217
Other comprehensive income (loss) before reclassification	-186	492
Amount reclassified to mortgage-backed securities available for sale	'	-1,217
Amounts reclassified to net gain on the sale of mortgage-backed securities	'	'
Amounts reclassified for termination of all-in-one cash flow hedge accounting on dollar roll TBAs	'	'
Net current period other comprehensive income (loss)	-186	-725
Ending balance accumulated other comprehensive income (loss)	($186)	$492

Subsequent_Event_Additional_In

Subsequent Event - Additional Information (Details) (Subsequent Event, USD $)	0 Months Ended
In Millions, unless otherwise specified	Apr. 02, 2014
Subsequent Event	'
Subsequent Event [Line Items]	'
Company purchased outstanding stock of privately held non clearing broker	100.00%
The purchase price paid in cash	$2.40