Counterparty Risk

6 Months Ended

Jun. 30, 2023

The Company is exposed to concentrations of counterparty risk. It seeks to mitigate such risk by diversifying its exposure among various counterparties, when appropriate. The following table summarizes the Company's exposure to counterparty risk as of June 30, 2023 and December 31, 2022.

June 30, 2023:


	Amount of Exposure		Number of Counterparties with Exposure	Maximum Percentage of Exposure to a Single Counterparty(1)
	(In thousands)
Cash and cash equivalents	$	194,595	13	44.9	%
Collateral on repurchase agreements held by dealers(2)	3,221,191		26	23.1	%
Due from brokers	33,118		25	14.8	%
Receivable for securities sold(3)	30,334		5	87.1	%

(1)Each counterparty is a financial institution that the Company believes to be creditworthy as of June 30, 2023.

(2)Includes securities, loans, and REO as well as cash posted as collateral for repurchase agreements.

(3)Included in Investment related receivables on the Condensed Consolidated Balance Sheet.

December 31, 2022:


	Amount of Exposure		Number of Counterparties with Exposure	Maximum Percentage of Exposure to a Single Counterparty
	(In thousands)
Cash and cash equivalents	$	217,053	13	41.3	%
Collateral on repurchase agreements held by dealers(1)	3,247,276		26	21.6	%
Due from brokers	36,761		20	22.8	%
Receivable for securities sold(2)	21,439		6	36.4	%

(1)Includes securities, loans, and REO as well as cash posted as collateral for repurchase agreements.

(2)Included in Investment related receivables on the Condensed Consolidated Balance Sheet.