Company: MITN
Filing Date: 2025-03-04
Form Type: 10-K
Source: 0001514281-25-000026
Chunk: 152

Company: AG Mortgage Investment Trust, Inc.
Filing Date: 2025-03-04
Form: 10-K
Item: Item 7
Chunk 152
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 liquidity by maintaining excessive liquidity, which would lower our investment returns, or by maintaining insufficient liquidity, which may force us to liquidate assets into potentially unfavorable market conditions and harm our results of operations and financial condition. Further, an unexpected rise in interest rates and a corresponding decline 

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in the fair value of our assets may also force us to liquidate assets under difficult market conditions in an effort to maintain sufficient liquidity to meet increased margin calls, thereby harming our results of operations and financial condition.

Similar to the margin calls that we receive on our borrowing agreements, we may also receive margin calls on our derivative instruments when their fair value declines. This typically occurs when prevailing market rates change adversely, with the severity of the change also dependent on the terms of the derivatives involved. We may also receive margin calls on our derivatives based on the implied volatility of interest rates. Our posting of collateral with our counterparties can be done in cash or assets, and is generally bilateral, which means that if the fair value of our interest rate hedges increases, our counterparty will be required to post collateral with us. Refer to the "Liquidity risk – derivatives" section of Item 3 below for a further discussion on margin.

Cash Flows

The table below details changes to our cash, cash equivalents, and restricted cash for the years ended December 31, 2024 and 2023 (in thousands).

Years EndedDecember 31, 2024December 31, 2023ChangeCash, cash equivalents, and restricted cash, Beginning of Period$125,573 $98,803 $26,770 Net cash provided by (used in) operating activities (1)55,839 28,134 27,705 Net cash provided by (used in) investing activities (2)(713,131)(433,505)(279,626)Net cash provided by (used in) financing activities (3)670,287 432,141 238,146 Net change in cash, cash equivalents and restricted cash12,995 26,770 (13,775)Cash, cash equivalents, and restricted cash, End of Period$138,568 $125,573 $12,995 

(1)Cash provided by operating activities is primarily attributable to net interest income less operating expenses for the years ended December 31, 2024 and 2023. The increase in net cash provided by operating activities during the year ended December 31, 2024 was a result of a full