Should You Forget AGNC Investment and Buy Starwood Property Trust Instead?
AGNC Investment (NASDAQ: AGNC) currently offers a big-time income stream. The real estate investment trust (REIT) boasts a dividend yield of more than 14%. That’s 10 times higher than the S&P 500‘s 1.2% yield.
However, it’s not the only high-yielding REIT that’s enticing. Starwood Property Trust (NYSE: STWD) yields nearly 11% these days. The company has a more diversified portfolio and a longer track record of making consistent dividend payments. Here’s why more risk-averse income investors might want to forget AGNC Investment and buy Starwood instead.
AGNC Investment has a very straightforward business model. It only invests in Agency residential mortgage-backed securities (MBS),…
