Company: RWT-PA
Filing Date: 2025-04-01
Form Type: DEF 14A
Source: 0000930236-25-000012
Chunk: 54

Company: REDWOOD TRUST INC
Filing Date: 2025-04-01
Form: DEF 14A
Chunk 54
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                                                                |     | • | Exclude bank holding companies and companies in the cash advance/pawn broker businesses, due to fundamental differences in the underlying business model   |

| Step 4: |     | Select 15 to 25 companies for inclusion in the compensation peer group: |     |   |                                                                                                                                                                                                                                                                |
|         |     |                                                                         |     | • | Generally include all companies identified in Step 2                                                                                                                                                                                                           |
|         |     |                                                                         |     | • | Generally include companies identified in Step 3 if they: (1) are included in the prior year’s compensation peer group or (2) have been identified as a peer of Redwood’s most-direct peers (e.g., a peer of another mortgage REIT identified in Step 2)       |
|         |     |                                                                         |     | • | Add additional companies identified in Step 3 to: (1) ensure that the sample size is sufficient and (2) position Redwood closer to the median on key size measures, focusing primarily on market capitalization and secondarily on total assets and net income |

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The Committee recognizes that the compensation peer group does not include generally higher-paying externally-managed REITs, mortgage-focused divisions of large publicly-traded financial institutions, private equity firms, and hedge funds with which Redwood competes for executive talent. These organizations are not included because they have different business economics and pay models from Redwood, and because comprehensive compensation data for their executives are generally not publicly available.

The Committee reviews the compensation peer group and the selection process and criteria on an annual basis to confirm that it continues to reflect relevant business and labor market competitors for whom comprehensive data is available. Accordingly, the companies included as peers may change from year to year as a result of updates to the selection process and criteria and changes in the real estate and capital markets. Following the completion of the Committee’s review process in 2024, there were no changes to the compensation peer group from the 2023 compensation peer group.

2024 Compensation Peer Group . Based on the above-described methodology, the compensation peer group approved by the Committee for use in preparing and reviewing the competitive pay analysis in 2024 consisted of the following 19 companies:

| • |     | Arbor Realty Trust, Inc.       |     | • |     | Acadian Asset Management(1)       |
| • |     | Chimera Investment Corporation |     | • |     | Dynex Capital, Inc.               |
| • |