AGNC Investment Corp is a real estate investment trust that invests in residential mortgage-backed securities issued by U.S. Government-sponsored enterprises or agencies. These securities include residential mortgage pass-through securities and collateralized mortgage obligations, and their principal and interest payments are guaranteed.
The investment includes various types of mortgages and securities related to residential and commercial mortgages, housing, mortgages, or real estate markets.
They seek to achieve their objectives by investing in a portfolio of agency MBS that is actively managed and diversified across various sectors of the mortgage market. In addition, they may invest in other types of mortgage and mortgage-related securities, as well as certain other investments including residential and commercial loans, credit risk transfer securities, real estate-related securities, government and corporate obligations, derivative instruments, mortgage loan purchase commitments, and other investments in or related to the housing, mortgage or real estate markets.
Their portfolio management strategy is designed to provide our stockholders with attractive current yields on their investments while managing risks associated with interest rate movements, prepayment rates, credit quality, and liquidity. They believe that their active portfolio management approach is well-positioned to yield attractive risk-adjusted returns over the long term.
They strive to maintain an efficient capital structure and manage exposure to interest rate fluctuations to reduce volatility in net asset value per share, enhance dividend stability, and increase total return for stockholders. They use a variety of derivative instruments including interest rate swap agreements, interest rate caps and floors, options, swaptions, and forward contracts to manage their exposure to changes in interest rates.
They also use derivatives to hedge against declines in the value of their investment portfolio due to prepayment risk or credit deterioration. Finally, they may enter into certain derivative instruments that are permitted under U.S. GAAP to modify the economic impacts of certain risks, such as interest rate and currency exchange rate movements.
Overall, their goal is to provide attractive risk-adjusted returns for their stockholders over a long-term investment horizon through a disciplined approach to portfolio management that seeks to preserve and enhance asset value over time. As of December 31, 2020, we had $115.2 billion in total assets, including $110.3 billion in agency MBS and other investments and $4.9 billion in repurchase agreements payable. Their leverage ratio was approximately 6.1x as of December 31, 2020. They have paid a quarterly dividend since their initial public offering without interruption or reduction and have increased their dividend rate 38 times since their initial public offering. They are also committed to pursuing ongoing portfolio management strategies that are designed to improve the total return for stockholders over the long term.
They believe their differentiated approach, which focuses on both current income and asset preservation through active portfolio management, sets AGNC Investment Corp apart from other REITs and real estate investment companies. As one of the largest publicly traded mortgage REITs, They are focused on offering stockholders both current income and asset preservation through their disciplined approach to portfolio management. They believe that this strategy positions them well for long-term success in an ever-changing landscape.