Company: AOMN
Filing Date: 2025-03-24
Form Type: 10-K
Source: 0001766478-25-000019
Chunk: 9

Company: Angel Oak Mortgage REIT, Inc.
Filing Date: 2025-03-24
Form: 10-K
Item: Item 1
Chunk 9
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 the use of derivative instruments such as interest rate swap contracts, index swap contracts, interest rate cap or floor contracts, futures or forward contracts, and options.

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Our Investment Guidelines

Our Board of Directors has approved the following investment guidelines:

•No investment shall be made that would cause us to fail to qualify as a REIT under the Code;

•No investment shall be made that would cause us or any of our subsidiaries to be regulated as an investment company under the Investment Company Act;

•Our investments will be predominantly in our target assets;

•Prior to the deployment of capital into our target assets, our Manager may cause our capital to be invested in any short-term investments in money market funds, bank accounts, overnight repurchase agreements with primary U.S. Federal Reserve Bank dealers collateralized by direct U.S. Government obligations, and other instruments or investments determined by our Manager to be of high quality; and

•The acquisition of any of our target assets by us or any of our subsidiaries from Angel Oak Mortgage Lending or other affiliate of our Manager shall require the pricing approval of our Affiliated Transactions and Risk Committee, which is comprised of three of our independent directors.

These investment guidelines may be amended, restated, modified, supplemented, or waived by our Board of Directors (which must include a majority of our independent directors) from time to time without the approval of, or prior notice to, our stockholders.

Our Target Assets

Our target assets include:

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Target assets, investments backed by:Examples:Residential propertiesNon-QM loansNon-Agency mortgage loansNon-Agency RMBSCommercial real estate propertiesSenior mortgage loansCommercial bridge loansSmall balance commercial mortgage loansOther investmentsAgency RMBSSecond lien mortgage loansMezzanine loansConstruction loansHELOCsB-NotesQM loansConforming residential mortgage loansResidential bridge loansSubprime residential mortgage loansAlt-A mortgage loansCRT securitiesCMBSMSRs and excess MSRsCertain non-real estate related assets, including ABS and consumer loans

Our strategy is adaptable to changing market environments, subject to our ability to maintain our qualification as a REIT for U.S. federal income tax purposes and to maintain our exclusion from regulation as an investment company under the Investment Company Act. Our investment and asset management decisions depend on prevailing market conditions. Accordingly, our strategy and target assets may vary over time in response to market conditions. Our Manager is authorized to follow very broad investment guidelines and, as a result, we cannot predict our portfolio composition. We may change our strategy and policies without a vote of