XML 19 R9.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Agency MBS | 9 Months Ended
--- | ---
Sep. 30, 2012
AGENCY MBS [Abstract] |
Agency MBS | AGENCY MBS The following table presents the components of the Company’s investment in Agency MBS as of September 30, 2012 and December 31, 2011:
| September 30, 2012
| RMBS |  | CMBS |  | CMBS IO (1) |  | Total
Principal/par value | $ | 2,627,300 |  |  | $ | 289,726 |  |  | $ | — |  |  | $ | 2,917,026 |
Unamortized premium | 145,922 |  |  | 21,898 |  |  | 508,326 |  |  | 676,146 |
Unamortized discount | (14 | ) |  | — |  |  | — |  |  | (14 | )
Amortized cost | 2,773,208 |  |  | 311,624 |  |  | 508,326 |  |  | 3,593,158 |
Available for sale (recognized in statement of comprehensive income): |  |  |  |  |  |  |
Gross unrealized gains | 32,315 |  |  | 20,843 |  |  | 10,880 |  |  | 64,038 |
Gross unrealized losses | (5,428 | ) |  | (2 | ) |  | (3,693 | ) |  | (9,123 | )
Trading (recognized in income statement): |  |  |  |  |  |  |
Gross unrealized gains | — |  |  | 2,599 |  |  | — |  |  | 2,599 |
Total Agency MBS fair value: | $ | 2,800,095 |  |  | $ | 335,064 |  |  | $ | 515,513 |  |  | $ | 3,650,672 |
Weighted average coupon | 3.73 | % |  | 5.20 | % |  | 0.96 | % |  |
(1) | The combined notional balance for the Agency CMBS IO securities is $9,251,338 as of September 30, 2012.
| December 31, 2011
| RMBS |  | CMBS |  | CMBS IO (1) |  | Total
Principal/par value | $ | 1,488,397 |  |  | $ | 266,952 |  |  | $ | — |  |  | $ | 1,755,349 |
Unamortized premium | 85,488 |  |  | 21,627 |  |  | 86,358 |  |  | 193,473 |
Unamortized discount | (17 | ) |  | — |  |  | — |  |  | (17 | )
Amortized cost | 1,573,868 |  |  | 288,579 |  |  | 86,358 |  |  | 1,948,805 |
Available for sale (recognized in statement of comprehensive income): |  |  |  |  |  |  |
Gross unrealized gains | 10,787 |  |  | 11,746 |  |  | 350 |  |  | 22,883 |
Gross unrealized losses | (7,405 | ) |  | — |  |  | (1,043 | ) |  | (8,448 | )
Trading (recognized in income statement): |  |  |  |  |  |  |
Gross unrealized gains | — |  |  | 1,919 |  |  | — |  |  | 1,919 |
Total Agency MBS fair value: | $ | 1,577,250 |  |  | $ | 302,244 |  |  | $ | 85,665 |  |  | $ | 1,965,159 |
Weighted average coupon | 4.54 | % |  | 5.20 | % |  | 0.96 | % |  |
(1) | The combined notional balance for the Agency CMBS IO securities is $1,813,096 as of December 31, 2011.
The Company purchased $1,707,077 of Agency RMBS and $477,774 of Agency CMBS, consisting principally of CMBS IOs, since December 31, 2011. Agency CMBS IOs are secured by excess interest payments on pools of multifamily housing mortgage loans. As these securities have no principal associated with them, the interest payments received are based on the unpaid principal balance (often referred to as the notional amount) of the underlying pool of mortgage loans. The IO securities have prepayment protection in the form of lock-outs and/or yield maintenance associated with the underlying loans. As of September 30, 2012 and December 31, 2011, the amortized cost of Agency CMBS designated as trading was $27,687 and $28,119, respectively. The Company recognized a net unrealized gain for the three and nine months ended September 30, 2012 of $283 and $716 compared to $744 and $1,819 for the three and nine ended September 30, 2011, respectively, related to changes in fair value, which is included within “fair value adjustments, net” in the Company's consolidated statements of income. The Company also has derivatives designated as trading instruments, and the changes in their fair value are also included within "fair value adjustments, net". Please refer to Note 7 for additional information on these derivatives designated as trading instruments. The following table presents certain information for those Agency MBS in an unrealized loss position as of September 30, 2012 and December 31, 2011:
| September 30, 2012 |  | December 31, 2011
| Fair Value |  | Unrealized Loss |  | # of Securities |  | Fair Value |  | Unrealized Loss |  | # of Securities
Unrealized loss position for: |  |  |  |  |  |  |  |  |  |  |
Less than one year | $ | 392,903 |  |  | $ | (4,281 | ) |  | 42 |  | $ | 680,101 |  |  | $ | (6,765 | ) |  | 54
One year or more | 323,732 |  |  | (4,832 | ) |  | 35 |  | 160,544 |  |  | (1,684 | ) |  | 27
| $ | 716,635 |  |  | $ | (9,113 | ) |  | 77 |  | $ | 840,645 |  |  | $ | (8,449 | ) |  | 81
Because the principal and interest related to Agency MBS are guaranteed by the government-sponsored entities Fannie Mae and Freddie Mac who have the implicit guarantee of the U.S. government, the Company does not consider any of the unrealized losses on its Agency MBS to be credit related. Although the unrealized losses are not credit related, the Company assesses its ability and intent to hold any Agency MBS with an unrealized loss until the recovery in its value. This assessment is based on the amount of the unrealized loss and significance of the related investment as well as the Company’s current leverage and anticipated liquidity. Based on this analysis, the Company has determined that the unrealized losses on its Agency MBS as of September 30, 2012 and December 31, 2011 were temporary.

X
- Details
Name: | dx_AgencyMbsAbstract
Namespace Prefix: | dx_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of investments in certain debt securities that are guaranteed by a government-sponsored entity such as Fannie Mae or Freddie Mac and which have readily determinable fair values. These securities have an accounting designation of either available-for-sale (changes in fair value are recorded as unrealized gains/losses in other comprehensive income until sold or otherwise disposed of) or trading (changes in fair value are recorded as recognized but unrealized gains/losses in the current period's statement of income). + References No definition available. + Details
Name: | dx_AgencyMbsTextBlock
Namespace Prefix: | dx_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration