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CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
 [1]
Cash flows provided by (used in) operating activities:    
Net income (loss) $ (1,221) $ 9,996
Reconciliation of net income (loss) to net cash provided by (used in) operating activities:    
Net realized (gains) losses on securities 13,590 3,001
Change in net unrealized (gains) losses on securities 32,915 (5,783)
Net realized (gains) losses on financial derivatives (16,311) 10,455
Change in net unrealized (gains) losses on financial derivatives (16,005) 1,302
Amortization of premiums and accretion of discounts (net) 8,165 6,025
Share based compensation 149 144
(Increase) decrease in assets:    
Interest receivable 109 (1,087)
Other assets (142) (52)
Increase (decrease) in liabilities:    
Accrued expenses (24) 234
Interest payable 1,022 878
Management fees payable to affiliate (84) 208
Net cash provided by (used in) operating activities 22,163 25,321
Cash flows provided by (used in) investing activities:    
Purchases of securities (1,001,324) (2,189,278)
Proceeds from sale of securities 917,962 1,572,711
Principal repayments of mortgage-backed securities 136,490 121,543
Proceeds from investments sold short 778,977 577,630
Repurchase of investments sold short (829,897) (596,888)
Proceeds from disposition of financial derivatives 28,395 10,953
Purchase of financial derivatives (11,798) (20,357)
Payments made on reverse repurchase agreements (10,302,989) (13,127,929)
Proceeds from reverse repurchase agreements 10,357,680 13,146,066
Due from brokers, net 6,217 (20,518)
Due to brokers, net 7,865 (543)
Net cash provided by (used in) investing activities 87,578 (526,610)
Cash flows provided by (used in) financing activities:    
Net proceeds from issuance of common shares 0 59,103
Offering costs paid 0 (324)
Repurchase of common shares (7,251) 0
Dividends paid (14,386) (12,252)
Borrowings under repurchase agreements 1,270,533 2,856,680
Repayments of repurchase agreements (1,367,107) (2,412,340)
Due from brokers, net (6,631) 27,189
Cash provided by (used in) financing activities (124,842) 518,056
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (15,101) 16,767
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 56,117 33,504
CASH AND CASH EQUIVALENTS, END OF PERIOD 41,016 50,271
Supplemental disclosure of cash flow information:    
Interest paid 22,412 12,039
Dividend payable $ 4,700 $ 5,334
[1] Conformed to current period presentation.