good morning, Deen, and Thanks, Alaael everyone.
turmoil during or some book the income return the value share. which X.X% our per both and economic As of per in and mid-March I'll of the the banking presentation. quarter, of XX% covered the around up market you swings earnings generated grew Ellington annualized first always, both your X for quarter. EFC sector, an share most notably of in Slide per share Financial. begin In on thank $X.XX for generated quarter, sequentially, distributable Ellington net interest of Despite dividends and adjusted significant $X.XX and time the in Financial
here sections Slide strategy. out net In our income on break we X, the third second by and
way on see Agency, an Longbridge that results, while had of excellent interest actually a from can we In RMBS the and we and from treasuries. agency margins, as in strong was led sale its primary our driver when And You loan the net had well. by credit proprietary and solid gain also an driven Agency both MSRs loans. Longbridge mark-to-market outperformed gains income credit, portfolios up quarter, and our our underperformed contributions finally, quarter that strategy
were During our the again Capital Management. first we quarter, with highly opportunistic
of through of constructive advantage our preferred First, stock. higher than narrow we took raising common in and stock February, early it capital raise Then million market when February, by capitalize on we price a to stability was our January today. in much market is window $XXX ATM a of
assets too demand, XXXX. which yield targeted in are is now carries to offering B stock in back Series to B minus institutional only where were preferred spread C wider along preferred much the priced which This than offering NAIC-X back That's preferred our our and preferred strong at price on spreads a The series stock rated they stock Series A new sector. existing then. with rating A our yield the December because similar significant we enabled our us
the repurchase common levels. after sector accretive at March, want doing. to in highly what is exactly sold we off be REIT shares Finally, mortgage This we
contrast at attractive further quarter, economics. six that pushed took the to and for all happy a execution capital first quickly, activity, the just In with of were by few of non-QM levels. after non-QM of quarter, we prior to securitization securitization In in non-QM the weeks the a securitization. a half advantage stability to until our we prior delayed window in market when our addition we February, In participating we to first year months come
of securitization an spread enabled cost under We And markets XXX tranches the we on to curve. were us high While still we the strong. of the overall in price tranches the of retained. were funds to achieved very returns X%, plus equity up on able which lock AAA
information, originators. majority and There's the The them can which our profitably markets the equity capital were which LendSure of on originate a and underwriting two gives these exchange of Heritage, the these loans the continual that strategic and profile by visibility it ability loop to American be input This in sold us dialogue desk the investments. have loans, non-QM securitizations loans into credit we securitized. gives originated great and feedback on and of in ultimately
end and stock the our preferred were We March, and adjusted both able of ahead high the get a degree the We've in asset enhanced opportunity been with we we our new in selective on off to deployment of we pleased quality are that now risk movement set started so tranches in attractive of our that side non-QM completed on risk our the the of retain in strategic securitization issuance far. collateral, of and the extremely has very believe sheet. February the capital and balance organically create. the up I'm that confidence returns that that
leverage pending some lowering our off, full First, we deployment. repo allowed temporarily to roll
distressed we repurchases, to finished March included businesses, dry our the of to quarter a note in purchase loan market active with we powder this portfolio which our I prices. of share to as added mentioned. quarter And third, some and remaining I'll we secondary loans, the across past with ample HECM buyout Second, of that believe invest. were portfolios be we've what
translated composition. some the changes our concrete quarter portfolio Our activity into to during
to buyout continue rotate agency we mortgage investment another down. otherwise, quarter, declined purchase of actually that reverse credit distressed of Our out portfolios that of increased capital largely ticked agency. The the portfolio agency mentioned. this I sizes But our because and of loans XX% portfolio as HECM
actually occurred March in agency assets and spread all around and sales added widening. net net the those However, in we February January
Meanwhile, our by two declined mostly credit in sectors. X% sequentially, portfolio
out First, great we The loans now good smaller levels. February of of sheet a cleared portion non-QM securitization our balance have a portfolio. on non-QM
In for addition recent bid non-QM again spreads has loan stronger. home buyers the securitization with relatively loans from widening in to weeks, that, become the
and to encouraged a we've of sell acquisition As American their more has home EFC's LendSure of heritage and pace result, production buyers, subsided. to loan
time Of course, any at that could change dynamics. demand on based supply
been costs. and Second, of of on rates of the loan smaller higher a the have we real impact higher The on portfolio. number bridge a has now issues property, with recently, sector estate interest impact including commercial rates dealing interest financing property values commercial
now regional level. banking the standards, underwriting and distress tightening at Lenders
the have predicting continuing As sub much reasons. cautious we to a more on sub for We that from taken the in a somewhat insulated more approach the believe is many result, credit several that sector, sector. focus impending are contraction so sector multifamily including that multifamily
of still occupancy First, shortage housing, should acute and there which levels an rents. is support
for and the sentiment. includes on who small rent banks doesn't the private Second, afford by and lenders lenders as thus to where office, subsidies third space to are driving come which also buy. is fewer government hotel. people serve and and who retail market to property people can opposed the the otherwise as the buy might And other like mortgage lenders the GSEs way more homes rent primary the primary as go types given support, multifamily other to serve rates GSE who based
should find refinance levels sponsors So appropriate at able and be still to some multifamily. that
to tightening lowering bridge commercial multifamily, our addition been across focusing including criteria In also sub LTVs. on we've all underwriting our sectors within
loan commercial portfolio bridge duration, of same pace new a average back. less and loan our estimated march a As has XX was result, short the At has existing ratcheted months. our its XX bridge weighted investments than life time,
we take experiences these action problems. sooner short-term benefit is loans nature One when property can of that the of the
each Another loans to portion is benefit that big of significant a off continue quarter. pay our
the in of a the lending our slower pace. As result sector and steady payoffs
has declined bridge commercial three quarters. for portfolio consecutive Our now loan
Since on we commercial bridge to think cautious million. and down mid-year have XXX shrunk our said, the XXX the XX% another impact the turmoil an commercial regional selective small specifically. portfolio discounted from that banking in the on acquire XX% XXXX, we're system their system outsized mortgage loan for especially reason that sector opportunities and the All us across deposit million estate could being banking stress is that these of commercial an bases could real to commercial generally, us some has loans hold real estimate for loans, estate further and about and deeply market opportunity at create We of loans prices. banks mean by non-performing
equity originations. bank underwriting the both provide to opportunity at expect our underwritten time, and small Ellington the higher on conservatively in-house strong investment to strategic capabilities, in see these EFC we at spreads capital. space, as through and has lenders withdraw At Sheridan same an capital origination, workout new from
approaching loan portfolio to As this are wouldn't in mortgage Therefore, opportunity. very I to such, surprised benefit well I be we commercial think see future. positioned our from not-too-distant the increase
Putting it with We growth meaningful nearly balance to the year-end. quarter ratio available XXst, together, invest. unencumbered to the caused to portfolio, a equity slightly all X turn half investment and significant of to a our of to equity dry smaller recourse and ample March assets decline finished our debt That's decline. larger base from X down powder
a unencumbered powder. I see and that you to it's time can years, As from have great for think cash our assets dry
quarter financial discuss results it over turn that in our more I'll With to to detail. first JR
