Dynex Capital, Inc. (NYSE:DX) Q4 2023 Earnings Call Transcript

Eric Hagen: Yes. Appreciate that response. You know, we’re still a full-year away, actually a little bit more than a full-year, but how are we thinking about the fixed floating rate preferred stock rolling into the floating leg next year and maybe how you think about the cost of the capital structure overall if, you know, spreads are tighter or wider and what the Fed’s going to do?

Smriti Popenoe: Yes, I mean, don’t forget, a big part of that, if not all of it, is part of the hedging that we do on the liability side, right? So from an economic perspective, we feel really good about the fact that, that entire issue is hedged with our futures position. In general, so again, it’s going to be a question of what are the available opportunities? Where can we refinance, should we want to? We’ll go through the exact thought process as we approach the call date.

Eric Hagen: Yes. Thank you guys so much. Appreciate it.

Smriti Popenoe: You’re welcome.

Operator: We have no further questions at this time. I’ll turn the call back to Byron Boston for any closing remarks.

Byron Boston: Thank you very much for joining our call today. Just remember we have a long-term view, skilled risk management, discipline allocation of capital, a very experienced team, and most of all we take a very ethical approach as to how we manage our business. So thank you for joining us and we look forward to speaking to you again next quarter. Thank you.

Operator: That will conclude today’s meeting. Thank you all for joining and you may now disconnect.