you, operator. Thank
fourth of to experienced quarter to in quarter put proved very of the volatile period we've be quarter continuation markets very third the The XXXX for turbulent since the context, a of the and XXXX. the markets,
As economy XXXX its cool, that and Federal ease slowdown the expected to to Reserve markets the continued monetary continued global XXXX. started policy would need U.S. in Manufacturing the in the segment
of effect dollar tariffs China. August and of escalated would slowdown to increases into globally The go was new X, amount both subject war and both Contributing domestically The size when themselves. goods administration to was the XXXX; meaningfully tariffs trade announced substantial the to war the on on X. the the that trade September to between and were U.S. the the be tariffs
trading reacted many violently levels the reached extreme August bond, yield XX-year indicators XX-year increased reached note yield XX the reverse before late several yield in such and extreme as The pivoted markets XX-year the key levels, on early a U.S. Treasury basis Treasury eight U.S. market in on mere the others. again once days. September German course and in the as the These and market new were points
fields, overnight and the markets the deal attack Brexit in to times a another trade reverse a of and markets one the more U.S. end October, market, on the finally, development between funding a the President impeachment buffeted would potential disruption Trump, surprisingly, including and mid-September, Not the possible crisis major major in tentative in as Saudi oil few after a China.
Xx on the their of markets appears has to and XX, monetary the July correction" XX. response finally, range have funds the XX, October Federal with it last Fed Fed these and target developments, And moment, Reserve done "mid-course week, September are calmed, to lowered in the At policy. they stated the
MBS Agency declining and X.X%, continue the quarter data lows, This to negative provided is all-time X.X% although duration was return remain the accelerated for equivalent expected was total third versus to near The The LIBOR. America Lynch. of is and very by return rates interest market swaps high. prepayment activity per Merrill to Bank
XXXX, reached of ever of peak current refinancing is prepaid levels prepayment when August the XX activity in to highest during XX,XXX XX of cohorts XXXX, the than level index activity cycle MBA the of in reached activity materially XXXX, approximately was approaching more levels XX,XXX coupon on XX current summer refinancing XXXX index Prepayment refinancing seen terms below speeds and at peaked not since MBA levels. the not at CPR. The XX% on barely the but
This XXXX. The the and of trailed performance points as spread continued MBS to Agency RMBS as structured out generic, the of prepayment non-Agency Treasury to points XX, XX-year continue early activity products the XXXX] basis U.S. spread coupon reached poor corporates. and pools XXXX. outperform. of investment-grade With specified collateral, asset elevated other TBA quality well XX.XX highest since basis on is October mortgage the on XX-year XXX.XX of current [October XX
and swaps versus duration returns of X.X% outright comparable and generated X.X% Agency to negative LIBOR. corporates High-yield similar MBS
elevated. activity third end mortgage when directional: rates yields low standards at and quarter and the quarter, MBS markets historical very As the of positive poor rates performance been is has available fall; rally, in prepayment Even still performance by rates we the of the expected with when rates with to remain entered performance XXXX, the Agency fourth increase. are very increases
quarter third XXXX, $X.X a the million loss generated of $X.X of post-tax. pre-tax Bimini million, During
XXXX, $X.X For and September had income of the $X.X income after-tax pre-tax million XX, million. Bimini period nine-month of ended
state to actually Of our or to owing taxes. does net available course, income tax not operating losses, federal pay Bimini have
income of asset tax portion our is deferred utilized. be retained and this So a to
size on to Palm offer, With for of portfolio the operations million the to declined and facilitate XX, to the quarter connection the end, the or Since of in in XXXX. modified $XX for portfolio June Interest below approximately shares was respect as have portfolio closed the early is Dutch same our $X.X million quarter at $X.X approximately added was the Capital, auction to Royal the XX% repurchase portfolio quarter back reported also million we second XXXX. XX% July. by X.X the with income it tender which million,
a Mark-to-market Royal Palm gains return which approximately $X.X offset portfolio capital. holdings our were on net income generated Royal losses hedge of by in interest of were mark-to-market $X.X million million, $X.X on approximately Agency with Combined resulting RMBS $X.X portfolio. invested net of gains a of Palm's on mark-to-market on million, X.X% million the instruments,
years, very at The of were MBS treasuries in index two compares inside portfolio position in treasury the curve the the early decline to decreased negative in offer. Royal comparable swaps in the the tender to of in return of front-end Palm The the figure curve, hedges the duration of versus The and concentrated proportion the X.X%. quarter the futures. return of short belly favorably or due to hedge positions via remain the
October, need In taken on tender to we've In offer proceeds to approximately of the deployed into this The of office monetize portfolio million on Bimini Palm. and a earlier Royal the portfolio our building. the proceeds RMBS the non-portfolio fund year, shrink $X.X closed the steps be the to will assets deploy loan several portfolio. to late response into
currently sale acquired not used a In addition, agreement as The our of also sales purchaser will the proceeds with not has has listed portfolio carrying be in million. of sale a the $X.X entered Company net Bimini deployed for has value this of crisis financial property the is and the into our RMBS before if The building date, Palm. but the business. second consummated, Royal into
by they securitizations in in to as former most have these portfolio XXXX, they will consummated of and proceeds collected And collected have terminated yet the proceeds finally, Royal company Certain deployed to our recall in be portfolio. to through as will return the of be well. it yet certain Palm's year mortgage the XXXX, we owing they XXXX, federal be received, income tax to reported way terminations funds reinvested but service. for the into Those internal to too the revenue calendar have trustee once the are, be the
our rates seen in the quarter levels third of MBS last of As of back prepayments the heavily to has events concentrated the Brexit allocation MBS mentioned early were the above, driven activity pools the with of very across fourth elevated, the XX, Prepayment although capital and XXXX, the pass-through lower portfolio actual been Royal aftermath summer September and quarter at portfolio specified the pass-through XX% in market across realized just Palm, and over have portfolio. XXXX.
the the second portfolio CPR X.X XXXX quarter. structured for XX.X for quarter. pass-through at speed CPR our same the of quarter for the X.X versus third securities, as The was overall prepaid second the CPR, Inclusive portfolio the of
than speeds level this still we realized quarters. is activity However, of higher in prior prepayment
September. revenue as Palm emerged elevated repo benchmarks September, at during the approximately the Fed of have to the by Finally, equity quarter levels second Orchid over slightly quarter. to in of X% that to services XXXX markets quarter by Island albeit of the the prior Advisory SOFR, Capital compared XX% third increased the versus Royal as to funding disruptions funds such levels compared to base to ample continues despite or funding, access increased
Orchid's with Orchid conducted approximately primarily Orchid increase million. on net The growth unchanged proceeds an for the of XXXX, by On $XX.X service were going capital This a result holdings in should shares offering at a Island follow-on of of August base our Capital was advisory equity revenues on million. closed Island $X.X quarter forward. in Orchid. X, Dividends Capital offering
the close anticipate tender in forward, we and Going the at This, show shrink we'll we had Palm quarter we of will fund the by to market the XX% results, value of report when in fourth portfolio. Royal are offer. portfolio growth we to to spite continue year-over-year to portfolio hopeful the will the fact grow,
to the be of prepayment increase have in elevated activity markets the in continue that assume the levels rates recent level will near unless a and see events material rates. for low We appear current We we the to of portfolio turmoil not led position to the do resolution.
economic also numerous the presidential growth that there trade Brexit, the slowing, at This global growth wars, domestic potential slowdown play; XXXX fact election. are and impeachment, forces reflects
we on will the the issues beyond With Resolution over depend in seems during growth services, near-term of always advisory Capital experienced respect revenue Orchid Island base. to all growth what current quarter the unlikely. as these
early offer about words few since a since website. I say in July. still XXXX to the of a the like if stock, on had see you've tender go trading not, activity of beginning the trading would in graph it. our I but I over in Bimini We the specifically chance conclude, can I a it, loaded Before the activity to hope closed stock
words speak and you chance take you after to you've from and a want I Everything look and had is my can to that to pretty can back it self-evident, at go there.
to pretty can give I the graph straightforward. go It's pull I'll second over down, everybody not, it. So a just if
we things. on On top, chart, the the show two
on going the Capital the back Orchid through various starting in to reporting is scale. Island right-hand that, And the the line on line the the the base show the the that's left-hand Below dates, the equity the beginning is red On scale. of price volume XXXX, X/XX/XXXX. that's stock, rolling of with as we XX/XX/XXXX blue of of stock XX-day
course see, shrinking value you rates Orchid equity was were experiencing the interest As was book of and slow base rising, XXXX, can of decline. the as capital throughout
has the in top, with since the as Bimini at lower, drifted we price IPO Orchid the of price Bimini been did stock you blue of the reflected XXXX. was the Looking the and see in really stock, it this of line, this slowly can case
Orchid So to for go down. it when and growing, the stock declining, instance, higher, Orchid drift when is tends price to tends is
declining of of quite volume got year. the can see, the you the XXXX stock over and by As low end the in the course was
May offer. the range. price we of and bottom as you of below And rebounded In the just tender stock volume modified surged XXXX, to the Dutch our see, announced in the can
it tender this doesn't rolling after change so Now XX-day keep off. really X. until in graph on closed the July a in rolls The the average, tender mind, is line red
stock lower has continued you drift and can to the see, started as and the And lower, volume price drift plummeted. in has absolutely to
it takeaway don't And point even potential in in reducing the returns the open equity this that shares outstanding the the on taking so we our by future, where while offer, the is every the stock tender from is will minds increase to day.
do plan We will program In fact, only not to a diminished. three days It open or share as But though I place. two you week low. repurchase and generally effective, forward, in continue was even have should think know. volume the be materially effectiveness many extremely materially have the a we place, of we probably is going in
capital typically be would And of you'll stock note, has been a positive in has the stock. XXXX, in Orchid materially But that, which volume the spite base and that prices the growing, languished dropped. of for
tender is I in another So that likely. think not near-term this the is our takeaway from offer
it. That's questions. I'll call open up that, with to Operator, the
