Where Will AGNC Investment Be in 1 Year?
AGNC Investment (NASDAQ: AGNC) is often viewed as a dividend stock, thanks to its huge dividend yield. Huge, however, is an understatement. The yield is an ultra-high 14% today. No wonder dividend investors are attracted to the mortgage real estate investment trust (REIT). The next year should probably bring more of the same on the dividend front, but is that your income timeframe?Broadly speaking, there are two kinds of REITs. There are property-owning REITs, which, as implied, own physical properties. These types of REITs basically do the same thing you would do if you owned a rental property. The second kind of REIT is a mortgage REIT. This is what AGNC Investment is, and it's way more complex than owning and leasing out properties.Image source: Getty Images.Continue reading
AGNC Investment (NASDAQ: AGNC) is often viewed as a dividend stock, thanks to its huge dividend yield. Huge, however, is an understatement. The yield is an ultra-high 14% today. No wonder dividend investors are attracted to the mortgage real estate investment trust (REIT). The next year should probably bring more of the same on the dividend front, but is that your income timeframe?
Broadly speaking, there are two kinds of REITs. There are property-owning REITs, which, as implied, own physical properties. These types of REITs basically do the same thing you would do if you owned a rental property. The second kind of REIT is a mortgage REIT. This is what AGNC Investment is, and it's way more complex than owning and leasing out properties.
Image source: Getty Images.
