Exhibit 21.1

Subsidiaries of Registrant

Fixed Income Discount Advisory Company, Delaware corporation

RCap Securities, Inc., Maryland corporation

Merganser Capital Management, Inc., Delaware corporation

FIDAC Housing Cycle Fund, LLC, Delaware limited liability company

FHC Master Fund, Ltd., a Cayman Islands exempted company (wholly owned subsidiary of FIDAC Housing Cycle Fund, LLC)

Shannon Funding LLC, Delaware limited liability company

Charlesfort Capital Management LLC, Delaware limited liability company

FIDAC FSI LLC, Delaware limited liability company

FIDAC Europe Limited,  a United Kingdom private limited company (wholly owned subsidiary of Fixed Income Discount Advisory Company)