We utilize an opportunistic strategy to seek to provide investors with attractive current yields and risk-adjusted total returns by:

• allocating a majority of our equity capital, on an unleveraged basis, to the acquisition of Excess Mortgage Servicing Rights (or MSRs) through flow purchases from or bulk purchases with mortgage servicers;

• taking advantage of opportunities in the Agency RMBS market by acquiring Agency RMBS on a leveraged basis;

• over time, as the market for prime jumbo mortgage loans grows, taking advantage of opportunities in this market by purchasing these assets from, or potentially in partnership with, Freedom Mortgage; and

• opportunistically mitigating our prepayment, interest rate and, to a lesser extent, credit risk by using recapture agreements and a variety of hedging instruments.