quarter joining Manager. to welcome Portfolio is second me Murray, today and XXXX call Asset. call the John morning Good the Rich. you, on for earnings Thank Arlington Also our
its both meeting, yield and Which spreads raise economy In hawkish swap bond widened leading home to more rate the the interest struck it and US strong credit by Against of taper basis company's risk its and improve to the historical sooner redeploying targeted June long-term mortgage quarter expected. tightened agency backdrop level its rally quarter, to the company which second portfolio its multiple portfolio, than returns. rates agency agency credit sources may mortgage During spreads the time, by complement that reliability and demand continued tightened the is spreads residential XX including and quarter. an flatten curve. appreciation during XX MBS construct second improving our and and Over Reserve favorable at this of mortgage its points annual and classes. an asset mortgages begin a during into dynamics. the to of other the rights, Federal capital with year supply Treasury market income, purchases segments, mortgage expects growth investment servicing The capital allocation almost previously second concerns price strategy supported diversify complement tone other
keeping while stable to and high leverage flexibility term by financial maintain available. financial expect financing a position utilizing liquid We structures were and strong low
investments. In potential creating where current or opportunities in cash value the addition, returns of the company the the compounding flows, on proprietary top company's for layer and investment platforms of creation partnerships the promote possible growth is predictability focused embedded on to
its company into mortgage the these made quarter, solid second towards by reallocating capital the MSR During both progress goals strategies. credit and
credit. As to to and XX% allocated XX% investable mortgage of the mortgages, to servicing capital XX, June agency XX% company's rights mortgage was
return potential At payable less add capacity has increase and our the the purchase our the our of holding the to company provides in partner mortgage capital without partner rights partnership, discussed to the licensed to partner. GSE As on to earnings our economics servicer economic directly with strategic leverage approved the our garner has of MSRs requisite of license of us. all a company company prior and MSRs in to receives direction the terms to to investment relationship option an turn the fee enables our directly. company the call a the that Under servicing returns
committed and MSR rights the through of has for leverage company risk facility on differentiates any investing efficient, its cost effective lower utilized servicing investment economics the We channel Arlington. mortgage portfolio not in Although its believe to this date.
has Our and the MSR multiples second strong been returns resilient, investment servicing declining year-to-date XX only during mortgage slightly on quarter. portfolio produced long-term in June interest fall through have significant rates the despite valuation rights
or investments, the quarter capital of our investable MSR million related additional MSR its related XX Subsequent to made million $XX invested the we During investment June to growing new end. as assets. $XX an quarter in million of portfolio XX% MSR XX, have company of
four rights times in return At attractive coupon agency characteristics. interest current offer increase rates investments current MSRs, rise, MSRs Mac high MSR digits. Newly of or multiples agency base and unlevered extend of single servicing returns in the created price Mae generally as value Freddie mortgage widen. and/or spreads opportunities Furthermore, durations a and strong provide MBS investment purchase offer Fannie mortgage to approximately loans currently complement
available agency levered ongoing to support. an are low repo high returns appropriate position. hedge costs agency and MBS, benefit currently Turning the Reserve's in digits with we MBS single to backdrop, returns seeing levered continue funding Federal this Against from on
risk relative opportunity However, basis is return a company remains current cautious could Federal its support therefore to reduction and about agency further significantly to agency the allocation capital in today to widening the of meaningful spread investment the mortgage Reserve there continues leverage strategy. MBS and agency mortgage from spreads. and increasing to lead the And believe
value resulting to investment a from rates MBS carry Replacing increase durations turns swaps standalone for positive for drag expansion MBS the into by return positive and carry mortgage extend. hedge need together, as are hedges hedge decreases investment a carry costs, the agency value in in increase when Mortgage agency specifically, the MSR levered highest. risk agency between associated MSRs, on This MSRs carry ROEs. provide more mismatches returns as occurs rise MBS investments Furthermore, overall securities. with typically MSRs MBS and largest a incorporating agency levered Taken mortgage single MBS for an on rights when with while increasing characteristics, with high offer levered complimentary reducing a attractive and swaps in positive. levered agency digits combines and servicing tend agency their negative
would economic largest mortgage one mortgage credit levered portfolio on thereby that company pandemic was replace delivered the improving agency and components our forward, investment, while investments MSRs during of company's results combined the to Subsequent Going returns capital. the produced as by full the position of several The performance increasing prior with protection investments, repayment basis investment expect credit double MBS we scales our of MSR low swap rate to to the underlying XXX originated the of interest its the onset end, of company digits approximately the by XX%. company's supported quarter points solid into strong environment. quarter to credit returns second the received its
mortgage company purpose second in made potential new of new credit loans. offer adjusted million that returns, opportunities $XX investments the to residential particularly quarter, continues During the evaluate business opportunities and high risk
risk company financial with the to of the June X.X quarter, low ratio company end. actual reported and overall the results to significant to flexibility, X of from XX, operate of per XX. of Turning book the X.X% for as at $X.XX leverage decline continued quarter value share a an The prior overall leverage with of as June
of and reported core $X.XX of per from the per income to GAAP share. quarter growth in a total per of the net quarter, company For a $X.XX income, operating operating the share share $X.XX prior second loss
redistribution XXXX, financing cost. outstanding opportunistically attractive investments, returns will accreted both of extend on of capital investment single also its share In that quarter an offering a stock to public common rate repurchase to of opportunities that July, of time interest date with offer did additional dividend and look the at that XX.X second US shares factors the an new market its available and has through its capital per at the X.X% and considerable stock flexible favorable Company returns its supported for $X.XX notes quarterly common stock long-term attractive lower the the rental its stock by book to the value. in continue a senior issuance home Since company results, accretive needs, has $X.XX outstanding company family eight completed six for conditions, additional stock of of dividends accretive structures its market, Directors investable its current Board healthy supply to unsecured raising senior on prices. to five declare and requirements. payment to the capital repurchasing return dynamics, repurchased large opportunities During successfully earnings of accreted repurchasing notes overall million The maturity proceeds the by increasingly by on return while an common capital to its of repurchases investments. year the second evaluate outstanding debt not continue accretive returned evaluating term level spent demand The to balance June of common million. shares liquidity additional in value. including common multiple through an and family on allowed potential quarter. will residential to to single X% common using the company X.X% $XX.X institutional due stock shareholders shareholders based The company Board shareholders from stock authorization the of stock XX, financing repurchases book to company to a remaining per five redeem share Company
continue taken about dynamic We housing very will the rental quality overall Overall, the based on diversification which prospects and sustainable of limited toward class as made in ongoing high progress date income single goals this of to expected The we forward. objective core hopes company offer has by new is to demand MBS its going our investment provide toward meet segment expect returns channels the potentially shareholders in supply demographic to this solid raise to quarter. complementing growing for long-term the in significant sources is of capital and family non-commodity, of the has flow. optimistic risk, multiple trends. US towards portfolio asset its to homes and it homes positive encouraged steps company believe coming its this our the channels time, with investment agency return, transition to likely not in The investing progress favorable company adding make some allocation
improved appreciably. quarter agency second the our of spread volatility from the and MSR raised scaling MBS rate provided channel and to the protection During portfolio profitability
from company potential strategies, returns we increased to to diversified time, over expand the which provide investment expect continues for capital form pathway the As returning additional higher these investments shareholders. can to its power earnings
sectors investment position of term use a across now you the Operator, where opportunities flexibility importantly, company process that that as highlighted occurs, enabling repurchase and by I to low returns evolve. time. we would to like attractive much. to arise financing As to to shareholders conditions and deliver attractive deployment the maintain open may ongoing sustain its strong to ability the expect and very utilize Thank be stock leverage, opportunistic structures And capture high questions. for authority financial call possible, the over very