XML 29 R13.htm IDEA: XBRL DOCUMENT v3.25.4
Real Estate Securities
 12 Months Ended
Dec. 31, 2025
Investments, Debt and Equity Securities [Abstract]  
Real Estate Securities Real Estate Securities
 
The following tables detail the Company’s real estate securities portfolio by collateral type as of December 31, 2025 and 2024 ($ in thousands). The Company’s real estate securities include its interest in VIEs in which the Company has concluded that it is not the primary beneficiary and, as a result, did not consolidate the VIEs. The gross unrealized gains/(losses) in the tables below represent inception to date unrealized gains/(losses) since acquisition. 
 
Current Face (1)
 Premium /
(Discount) (1)
Amortized CostGross UnrealizedFair Value (2)Weighted Average
December 31, 2025GainsLossesCoupon (3)Yield (4)Life (Years) (5)
Non-Agency RMBS        
Non-QM Loans (6)$48,814 $(2,160)$48,526 $816 $(2,379)$46,963 3.11 %6.66 %3.57
Agency-Eligible Loans (7)44,491 (2,656)42,439 1,841 (117)44,163 3.57 %7.41 %6.74
Home Equity Loans (7)84,647 (2,018)99,617 7,514 (189)106,942 5.55 %10.47 %5.51
Prime Jumbo Loans4,256 (1,616)2,640 673 — 3,313 4.49 %8.82 %18.36
Total Non-Agency RMBS182,208 (8,450)193,222 10,844 (2,685)201,381 4.09 %8.82 %5.39
Legacy WMC CMBS (8)82,962 (37,015)45,947 5,814 (9,196)42,565 5.95 %15.30 %1.73
Agency RMBS Interest OnlyN/AN/A16,630 249 (521)16,358 4.57 %7.30 %5.17
Total as of December 31, 2025
$265,170 $(45,465)$255,799 $16,907 $(12,402)$260,304 4.55 %9.89 %4.93
Current Face (1)
 Premium/
(Discount) (1)
Amortized CostGross UnrealizedFair
Value (2)		Weighted Average
December 31, 2024GainsLossesCoupon (3)Yield (4)Life (Years) (5)
Non-Agency RMBS        
Non-QM Loans (6)$49,516 $(2,772)$49,015 $1,678 $(5,544)$45,149 2.83 %7.65 %4.62
Agency-Eligible Loans (7)51,861 (3,062)49,488 1,555 (148)50,895 3.45 %7.47 %6.91
Home Equity Loans15,526 640 26,076 1,445 (491)27,030 3.40 %16.36 %5.26
Prime Jumbo Loans6,415 (2,701)3,879 632 (6)4,505 0.97 %9.41 %7.95
Total Non-Agency RMBS 123,318 (7,895)128,458 5,310 (6,189)127,579 3.08 %9.40 %5.65
Legacy WMC CMBS (8)100,896 (41,879)59,017 2,577 (8,809)52,785 5.13 %16.74 %1.77
Agency RMBS Interest OnlyN/AN/A20,517 908 (429)20,996 4.32 %10.35 %6.55
Total as of December 31, 2024$224,214 $(49,774)$207,992 $8,795 $(15,427)$201,360 3.62 %11.58 %5.20
(1)Current Face and Premium/(Discount) exclude Interest Only securities, which have no principal balances and bear interest based on a notional value. The notional value is used solely to determine interest distributions on the interest only classes of securities. As of December 31, 2025, the notional balance of the Non-QM Loans, Agency-Eligible Loans, Home Equity Loans, and Agency RMBS Interest Only line items were $66.3 million, $40.4 million, $249.1 million, and $85.0 million, respectively. As of December 31, 2024, the notional value of the Non-QM Loans, Agency-Eligible Loans, Home Equity Loans, Prime Jumbo Loans and Agency RMBS Interest Only line items were $85.6 million, $50.4 million, $163.3 million, $28.3 million, and $107.2 million, respectively.
(2)The fair value of the securities held in unconsolidated VIEs represents the Company’s maximum loss exposure in unconsolidated VIEs. The Company generally has no obligation to provide any other explicit or implicit support to unconsolidated VIEs. Refer to Note 12 for commitments related to the undrawn portion of a borrowers' home equity line of credit for which the Company may be required to fund.
(3)Equity residual investments with a zero coupon rate are excluded from this calculation.
(4)The weighted average yields are calculated based on the amortized cost of the underlying securities.
(5)Actual maturities may be shorter or longer than stated contractual maturities. Maturities are affected by prepayments of principal.
(6)Certain Non-Agency RMBS include securities issued under Gold Creek Asset Trust ("GCAT"), which is the TPG securitization shelf under which the Company or private funds under the management of TPG securitize loans. These securities were retained from rated Non-QM Loan securitizations the Company participated in alongside private funds managed by TPG. The Company’s interest in the retained tranches represents its continuing involvement in these securitization trusts. As of December 31, 2025 and 2024, the Company’s Non-QM Loans includes $42.4 million and $40.3 million of retained securities from these transactions, respectively.
(7)For certain Non-Agency RMBS, the Company acted as a co-sponsor alongside an unrelated third party of rated securitizations. As the co-sponsor, the Company retained an "eligible vertical interest" to comply with risk retention rules which consists of at least 5% of each class of securities issued in the securitizations and represents the Company’s continuing involvement in these securitization trusts. The remaining tranches were sold to third parties and certain private funds managed by TPG or its affiliates, or were retained by the Company. As of December 31, 2025 and 2024, the Company’s Agency-Eligible Loans includes $42.2 million and $48.2 million of retained securities from these transactions, respectively. As of December 31, 2025, the Company’s Home Equity Loans includes $78.7 million of retained securities from these transactions.
(8)As of December 31, 2025 and 2024, there are Legacy WMC CMBS with an unpaid principal balance of $23.5 million and $23.5 million, respectively, and a fair value of $6.3 million and $6.0 million, respectively, which are on non-accrual or cost recovery status.
The following tables summarize the Company's real estate securities according to their projected weighted average life classifications as of December 31, 2025 and 2024 (in thousands).
December 31, 2025Non-Agency RMBSLegacy WMC CMBSAgency RMBS

Weighted Average Life (1)
Fair ValueAmortized
Cost		Fair ValueAmortized CostFair ValueAmortized
Cost
Less than or equal to one year$— $— $4,921 $8,589 $— $— 
Greater than one year and less than or equal to five years98,432 96,270 37,644 37,358 838 600 
Greater than five years and less than or equal to ten years80,653 75,378 — — 15,520 16,030 
Greater than ten years22,296 21,574 — — — — 
Total as of December 31, 2025
$201,381 $193,222 $42,565 $45,947 $16,358 $16,630 
December 31, 2024
Non-Agency RMBSLegacy WMC CMBSAgency RMBS

Weighted Average Life (1)		Fair ValueAmortized
Cost		Fair ValueAmortized CostFair ValueAmortized
Cost
Less than or equal to one year$2,983 $2,901 $14,731 $14,945 $— $— 
Greater than one year and less than or equal to five years16,277 13,197 38,054 44,071 676 667 
Greater than five years and less than or equal to ten years71,588 75,990 — — 20,320 19,850 
Greater than ten years36,731 36,370 — — — — 
Total as of December 31, 2024
$127,579 $128,458 $52,785 $59,016 $20,996 $20,517 
(1)This is based on projected life. Typically, actual maturities are shorter than stated contractual maturities. Maturities are affected by the contractual lives of the underlying mortgages, periodic payments of principal and prepayments of principal.

The Company sold real estate securities during the years ended December 31, 2025 and 2024, as detailed below ($ in thousands).
Year Ended December 31, 2025Year Ended December 31, 2024
Number of SecuritiesProceedsRealized GainsRealized LossesNumber of SecuritiesProceedsRealized GainsRealized Losses
Agency RMBS1$1,894 $241 $— 6$543,172 $10,172 $— 
Non-Agency RMBS42,987 452 — 1661,679 3,352 (569)
CMBS11,959 — (144)11,531 — (62)
Other Securities————1763 — (227)
Total6$6,840 $693 $(144)24$607,145 $13,524 $(858)