Company: ADAMM
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0001273685-25-000028
Chunk: 114

Company: ADAMAS TRUST, INC.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 16
Chunk 114
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 it pledged as collateral against such derivatives.  The Company is required to post an initial margin amount for its interest rate swaps, credit default swaps and U.S. Treasury futures determined by CME Clearing and ICE, which is generally intended to be set at a level sufficient to protect the exchange from the derivative financial instrument’s maximum estimated single-day price movement.  The following table summarizes assets pledged as initial margin as of December 31, 2024 and 2023, respectively (dollar amounts in thousands):Initial Margin CollateralConsolidated Balance Sheet LocationDecember 31, 2024December 31, 2023Agency RMBSInvestment securities available for sale, at fair value$33,399 $— Restricted cashOther assets68,253 53,458 Total initial margin collateral$101,652 $53,458 Margin excess related to settlement of variation margin in the amount of approximately $11.1 million and $1.1 million as of December 31, 2024 and 2023, respectively, is included in other assets on the accompanying consolidated balance sheets. Margin deficit related to settlement of variation margin in the amount of approximately $8.1 million as of December 31, 2024 is included in other liabilities on the accompanying consolidated balance sheets.

F-49

The tables below summarize the activity of derivative instruments for the years ended December 31, 2024 and 2023, respectively (dollar amounts in thousands):Notional Amount For the Year Ended December 31, 2024Type of Derivative InstrumentDecember 31, 2023Additions/Transfers In (1)Terminations/Transfers Out (1)December 31, 2024Interest rate caps$550,025 $177,044 $(681,927)$45,142 Options— 382 (382)— Interest rate swaps2,778,015 3,063,163 (1,706,911)4,134,267 Credit default swaps— 400,000 — 400,000 U.S. Treasury futures— 905,050 (498,950)406,100 Notional Amount For the Year Ended December 31, 2023Type of Derivative InstrumentDecember 31, 2022Additions/ Transfers In (2)TerminationsDecember 31, 2023Interest rate caps $140,000 $410,025 $— $550