Company: MFAN
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001055160-25-000007
Chunk: 46

Company: MFA FINANCIAL, INC.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 2
Chunk 46
---
586.8 million of principal payments on residential whole loans and loan related investments, $72.3 million of proceeds from the sale of residential whole loans, and $24.3 million of proceeds on sales of REO.  In addition, during the three months ended March 31, 2025, we utilized $299.6 million for acquisitions of securities and received $32.5 million from principal payments on our securities and cash proceeds of $2.6 million from sales of securities and other assets.  

In connection with our repurchase agreement financings and Swaps, we routinely receive margin calls from our counterparties and make margin calls (“reverse margin calls”) to our counterparties.  Margin calls and reverse margin calls, which requirements vary over time, may occur daily between us and any of our counterparties when the value of collateral pledged changes from the amount contractually required.  The value of securities pledged as collateral fluctuates reflecting changes in: (i) the face (or par) value of our assets; (ii) market interest rates and/or other market conditions; and (iii) the market value of our Swaps.  Margin calls and reverse margin calls are satisfied when we pledge or receive additional collateral in the form of additional assets and/or cash.

The table below summarizes our margin activity with respect to our repurchase agreement financings and derivative hedging instruments for the quarterly periods presented:

 Collateral Pledged for Margin ActivityCash and SecuritiesReceived for Reverse MarginNet Assets Received/(Pledged) for Margin ActivityFor the Quarter Ended (1)Fair Value of Securities PledgedCash PledgedAggregate AssetsPledged for Margin(In Thousands)     March 31, 2025$15,676 $18,471 $34,147 $37,890 $3,743 December 31, 202430,607 30,806 61,413 36,992 (24,421)September 30, 20247,368 7,076 14,444 15,361 917 June 30, 2024— 6,795 6,795 17,348 10,553 March 31, 202417,379 3,358 20,737 16,514 (4,223)

(1) Excludes variation margin payments on our cleared Swaps which are treated as a legal settlement of the exposure under the