NLY Having a Run!

[Lost Fish]

Having invested in REITs before, I'll just add my quick take: this is not your ordinary REIT. As Kerim noted, this is an mREIT which deals mainly with a portfolio of mortgages (thus the "m"). In some ways this is the perfect vehicle for those who felt left out after TARP and wanted some window into owning mortgage-backed securities. Unfortunately they are very interest-rate sensitive and the latest speculation on interest rates is that if the economy improves the Fed will increase rates which will KILL investments of this type. That's my understanding on why ordinary REITs are holding steady in comparison to these kind of REITs which are more interest-rate volatile (but also have high dividend yields).

So yeah, great dividends and, if they can weather the storm, maybe not a bad bet - for that reason alone.