Company: NLY-PF
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001628280-25-036724
Chunk: 246

Company: ANNALY CAPITAL MANAGEMENT INC
Filing Date: 2025-07-30
Form: 10-Q
Item: Part I, Item 8
Chunk 246
---
 of receiving and holding certain documents, instruments and papers related to the residential mortgage loans it purchases. Pursuant to the custodial agreement, the custodian segregates and maintains continuous custody of all documents constituting the mortgage file with respect to each mortgage loan owned by the subsidiary in secure and fire resistant facilities and in a manner consistent with the standard of care employed by prudent mortgage loan document custodians. At or prior to the funding of any residential mortgage loan, the 

12

ANNALY CAPITAL MANAGEMENT, INC. AND SUBSIDIARIESItem 1.  Financial Statements

related seller, pursuant to the terms of our mortgage loan purchase agreement, must deliver to the custodian, the mortgage loan documents including the mortgage note, the mortgage and other related loan documents. In addition, a complete credit file for the related mortgage and borrower must be delivered to the subsidiary prior to the date of purchase.The following table presents the fair value and the unpaid principal balances of the residential mortgage loan portfolio, including loans transferred or pledged to securitization vehicles, at June 30, 2025 and December 31, 2024:June 30, 2025December 31, 2024 (dollars in thousands)Fair value$30,744,062 $25,520,090 Unpaid principal balance$31,071,459 $26,297,725 The following table provides information regarding the line items and amounts recognized in the Consolidated Statements of Comprehensive Income (Loss) for the three and six months ended June 30, 2025 and 2024 for these investments:For the Three Months EndedFor the Six Months EndedJune 30, 2025June 30, 2024June 30, 2025June 30, 2024 (dollars in thousands)Interest income$467,959 $301,820 $894,014 $553,836 Net gains (losses) on disposal of investments (1)(14,315)(1,228)(24,308)(3,344)Net unrealized gains (losses) on instruments measured at fair value through earnings (1)94,051 (3,913)334,881 (88,698)Total included in net income (loss)$547,695 $296,679 $1,204,587 $461,794 (1) These amounts are presented in the line item Net gains (losses) on investments and other