TWO HARBORS INVESTMENT CORP.

# Two Harbors Investment Corp.

Two Harbors Investment Corp. is a mortgage REIT that invests in and finances mortgage servicing rights (MSRs) and agency residential mortgage-backed securities (RMBS). The company acquires agency RMBS backed by fixed-rate, adjustable-rate, and hybrid mortgage loans, along with related financial instruments and derivatives. Through its subsidiary RoundPoint, Two Harbors also manages mortgage servicing operations in the United States. The company qualifies as a REIT for federal income tax purposes, enabling it to distribute substantially all taxable income to shareholders.

The company's primary revenue streams derive from net interest income on its RMBS holdings and gains from mortgage servicing operations. Two Harbors maintains exposure to agency mortgage securities, which carry implicit government backing through Fannie Mae, Freddie Mac, or Ginnie Mae guarantees, alongside non-agency securities and other mortgage-related assets. Its business model is sensitive to interest rate movements, mortgage prepayment rates, and servicer advances required during delinquencies.

Headquartered in Saint Louis Park, Minnesota, Two Harbors was incorporated in 2009. The company operates with a diversified portfolio focused on the U.S. residential mortgage market, managing both the investment and servicing components of its mortgage assets.