Home Investing AGNC Investment Cuts Its Dividend by 25%

AGNC Investment Cuts Its Dividend by 25%

Author

Date

Category

AGNC Investment (NASDAQ:AGNC) is joining a growing crowd of financial services companies cutting or even eliminating their dividends. On Thursday, the mortgage real estate investment trust (mREIT) declared that its next monthly payout will be $0.12 per share, down 25% from the $0.16 per share it distributed Thursday.

In the press release announcing the new payout, the company said that the cut was “[c]onsistent with the decline in AGNC’s book value during the first quarter of 2020 stemming from the financial market dislocations associated with the COVID-19 pandemic.”

In a recent update, AGNC said that as of late March, its tangible net book value per share had fallen by 25% to 30%. This was due to significant volatility in the market for agency mortgage-backed securities.

AGNC believes that — buttressed by supporting from the Federal Reserve — the market has been improving since the beginning of the second quarter.

[Read More]

Linda Barbara

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Vestibulum imperdiet massa at dignissim gravida. Vivamus vestibulum odio eget eros accumsan, ut dignissim sapien gravida. Vivamus eu sem vitae dui.

Recent posts

Madewell’s First-Ever Athleisure Collection Is Here

In this unprecedented era of mask-wearing, working from home and online happy hours, athleisure and activewear have become the unofficial uniform of quarantine. Jeans...

Should You Buy Stocks Before or After the Election?

The results of the U.S. presidential election could have resounding effects on fiscal policy, the economy, and other matters that could ultimately impact investors'...