I Wouldn’t Touch These 2 Mortgage REITs, Even With Yields Over 16%. Here’s the 10%-Yielder I’d Buy Right Now.
The 10-year Treasury yield recently touched a 24-year high at nearly 5.3%. The surge in this benchmark rate has driven down mortgage REIT stock prices, boosting their yields. Leading residential mortgage REITs AGNC Investment (NASDAQ:AGNC) and Annaly Capital Management (NYSE:NLY) both currently yield more than 16%. While that's alluring to an income-seeking investor like me, I wouldn't touch them right now. Instead, I've been buying shares of commercial mortgage REIT Ladder Capital (NYSE:LADR) , which currently yields more than 10%. Here are a couple of key differences that make it stand out in an environment of rising rates. Image source: Getty Images. Continue reading