Company: NLY-PF
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0001628280-25-005451
Chunk: 78

Company: ANNALY CAPITAL MANAGEMENT INC
Filing Date: 2025-02-13
Form: 10-K
Item: Item 7
Chunk 78
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 principal amount of a security on its issue date.Out-of-the-MoneyDescription for an option that has no intrinsic value and would be worthless if it expired today; for a call option, this situation occurs when the strike price is higher than the market price of the underlying security; for a put option, this situation occurs when the strike price is less than the market price of the underlying security.Overnight Index Swaps (“OIS”)An interest rate swap in which a fixed rate is exchanged for an overnight floating rate.Over-The-Counter (“OTC”) MarketA securities market that is conducted by dealers throughout the country through negotiation of price rather than through the use of an auction system as represented by a stock exchange.PParPrice equal to the face amount of a security; 100%.Par AmountThe principal amount of a bond or note due at maturity. Also known as par value. Pass-Through SecurityA securitization structure where a GSE or other entity “passes” the amount collected from the borrowers every month to the investor, after deducting fees and expenses.

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ANNALY CAPITAL MANAGEMENT, INC. AND SUBSIDIARIESItem 7. Management’s Discussion and Analysis

PoolA collection of mortgage loans assembled by an originator or master servicer as the basis for a security. In the case of Ginnie Mae, Fannie Mae, or Freddie Mac mortgage pass-through securities, pools are identified by a number assigned by the issuing agency.PremiumThe amount by which the price of a security exceeds its principal amount. When the dollar price of a bond is above its face value, it is said to be selling at a premium.Premium Amortization Adjustment (“PAA”)The cumulative impact on prior periods, but not the current period, of quarter-over-quarter changes in estimated long-term prepayment speeds related to our Agency mortgage-backed securities.PrepaymentThe unscheduled partial or complete payment of the principal amount outstanding on a mortgage loan or other debt before it is due.Prepayment RiskThe risk that falling interest rates will lead to increased prepayments of mortgage or other loans, forcing the investor to reinvest at lower prevailing rates.Prepayment SpeedThe estimated rate at which mortgage borrowers will pay off the mortgages that underlie an MBS. Primary MarketMarket for offers or sales of new bonds by the issuer. Prime RateThe indicative interest rate on loans that banks quote to their best commercial customers.Principal and InterestThe term used to