New York Mortgage Trust, Inc. (NYMT): History, Ownership, Mission, How It Works & Makes Money

Are you defintely tracking the mortgage real estate investment trust (REIT) sector, especially a player like New York Mortgage Trust, Inc. (NYMT), which has navigated a complex interest rate environment to maintain a significant footprint?

This internally-managed REIT, founded in 2003, is a critical player in the residential and multi-family asset space, driving revenue primarily through interest income from its diverse portfolio, which expanded to $8.6 billion as of Q2 2025.

The company's ability to generate cash is clear: its Earnings Available for Distribution (EAD) per share hit $0.22 in Q2 2025, allowing it to maintain a steady quarterly dividend of $0.20 per share, even as its book value per common share stood at $9.11.

So, how does New York Mortgage Trust, Inc. structure its investments-from Agency Residential Mortgage-Backed Securities (Agency RMBS) to business purpose loans-to deliver these returns, and what is the underlying mission guiding its capital allocation strategy?

New York Mortgage Trust, Inc. (NYMT) History

You need to understand the history of New York Mortgage Trust, Inc. (NYMT) not just as a timeline, but as a series of strategic pivots that led to its September 2025 rebrand to Adamas Trust, Inc. The company started as a mortgage originator, evolved into a publicly-traded Real Estate Investment Trust (REIT), and has recently doubled down on credit-sensitive residential assets to drive earnings.

Given Company's Founding Timeline

The company's story begins before its life as a REIT, rooted in a traditional mortgage banking operation. This initial structure provided the foundation and expertise for its later, more complex investment strategy.

Year established

1989

Original location

New York City, United States

Founding team members

The original foundation was The New York Mortgage Company, LLC (NYMC), co-founded by Steven B. Schnall and Joseph V. Fierro.

Initial capital/funding

The initial capital for the 1989 founding of the predecessor company, NYMC, is not publicly documented, but the pivotal funding event was the 2004 Initial Public Offering (IPO), which raised $135 million.

Given Company's Evolution Milestones

The milestones show a clear shift from a mortgage originator to a diversified, internally-managed REIT focused on the residential credit market, a strategy that continues to evolve in 2025.

Given Company's Transformative Moments

The biggest story here isn't just the IPO, but the recent, defintely impactful strategic moves in 2025. You see a company actively reshaping its balance sheet and operational focus.

The shift to an internally-managed REIT structure was critical, letting the company directly control its strategy and costs, which is a major differentiator in the mREIT space (mortgage real estate investment trust). Plus, the capital raises in 2025 show a clear intent to fuel growth in a high-interest-rate environment.

• The 2025 Capital Infusion: In January 2025, the company priced a public offering of 9.125% senior notes due 2030, raising $75 million, followed by another 9.875% senior note offering in June 2025 for $85 million. This debt-heavy financing underscores the aggressive pursuit of targeted assets, primarily credit-sensitive ones.

• Focus on Residential Credit: The full acquisition of Constructive Loans in July 2025 solidified a core strategic pillar: business purpose loans (BPLs). This move is a bet on the single-family investor market, moving beyond just Agency residential mortgage-backed securities (RMBS). The total investment portfolio expanded to $8.6 billion in Q2 2025, reflecting this growth strategy.

• The Adamas Trust Rebrand: The September 2025 name change to Adamas Trust, Inc. is more than cosmetic; it signals a break from the 'New York Mortgage' past and aligns the brand with its current, diversified investment mandate across single-family, multi-family, and credit-related assets. This is a clear communication to the market about its future direction. You can read more about its forward-looking strategy here: Mission Statement, Vision, & Core Values of New York Mortgage Trust, Inc. (NYMT).

Here's the quick math: the Q2 2025 Earnings Available for Distribution (EAD) per share was $0.22, a 10% quarter-over-quarter increase, showing the strategy is starting to deliver higher recurring income, even as book value faces pressure.

New York Mortgage Trust, Inc. (NYMT) Ownership Structure

The ownership structure of New York Mortgage Trust, Inc. (NYMT) is heavily influenced by institutional investors, which is typical for a publicly traded Real Estate Investment Trust (REIT). These large funds and financial firms hold the majority of the common stock, meaning their collective decisions and capital flows significantly drive the stock's performance and governance. You should know that as of September 3, 2025, the company officially changed its name to Adamas Trust, Inc., trading under the NASDAQ ticker ADAM, but the underlying structure remains the same.

Given Company's Current Status

New York Mortgage Trust, Inc. is an internally managed REIT, which means its executive team and employees are direct employees of the company, not a third-party manager. This structure is defintely a plus for shareholders, as it better aligns management's interests with yours-they are focused solely on this company's performance. The company is a public entity, listed on the NASDAQ Stock Market, with approximately 90.31 million shares outstanding as of late 2025. This public status subjects it to rigorous SEC reporting requirements, providing you with high transparency into its operations and financials, including a reported net loss attributable to common stockholders of $3.486 million for the second quarter of 2025. For a deeper dive into their long-term vision, review the Mission Statement, Vision, & Core Values of New York Mortgage Trust, Inc. (NYMT).

Given Company's Ownership Breakdown

The company's control is concentrated among institutional players, but a large portion is still in the hands of individual retail investors. Institutional ownership stands at 53.13%, giving major funds like BlackRock, Inc. and Vanguard Group Inc significant voting power. Insider ownership, while smaller, is still a meaningful 11.11%, which is a healthy sign that management and directors have skin in the game.

Given Company's Leadership

The leadership team is a mix of seasoned veterans and newer executives, with an average management tenure of 2.3 years but a more experienced board averaging 7.7 years. This blend suggests a commitment to fresh strategy while retaining institutional knowledge.

• Jason Serrano, CEO & Director: Appointed CEO in January 2022, his total compensation for 2024 was approximately $3.91 million. He is the key driver of the company's investment strategy.
• Nicholas Mah, President: A senior executive whose 2024 compensation totaled about $3.03 million.
• Steven Mumma, Executive Chairman: Provides board oversight and strategic guidance, with a 2024 compensation of $240,000.
• Kristine Nario-Eng, Secretary: Her 2024 compensation was approximately $1.46 million.
• Adam Howse, Head of Operations: Oversees the firm's operational strategy and execution across all investment activities.

The CEO, Jason Serrano, directly owns 0.36% of the company's shares, a stake valued at approximately $2.24 million, which is a clear alignment of his personal wealth with your shareholder returns. That's a strong incentive.

New York Mortgage Trust, Inc. (NYMT) Mission and Values

New York Mortgage Trust, Inc.'s core purpose is to generate durable earnings and long-term value for stockholders by strategically deploying capital across a diversified, multi-dimensional investment platform, a commitment recently solidified by its rebrand to Adamas Trust, Inc.. The company's culture is built on a foundation of strength, integrity, and resilience, which are the non-negotiable principles guiding its investment decisions.

New York Mortgage Trust, Inc.'s Core Purpose

To be fair, the company's mission goes beyond a simple goal of profit; it's about delivering consistent, stable returns to investors across volatile economic cycles. This focus on stability is particularly important when you look at the Q2 2025 results, which showed a GAAP net loss of $(\text{3,486,000})$, but still generated Earnings Available for Distribution (EAD) per common share of $0.22, surpassing the quarterly dividend.

Official Mission Statement

The company's mission is fundamentally tied to its structure as a Real Estate Investment Trust (REIT) and its strategy of managing a diversified portfolio of mortgage-related assets.

• Generate durable earnings and long-term value for stockholders.
• Deliver long-term stable distributions to stockholders over changing economic conditions.
• Achieve returns through a combination of net interest spread and capital gains.

Here's the quick math: In Q2 2025, the company's interest income was a substantial $140,901,000, which, after subtracting $104,454,000 in interest expense, resulted in net interest income of $36,447,000, proving the effectiveness of the net interest spread strategy.

Vision Statement

The company's vision is to evolve into a multi-dimensional investment and operating platform, one not limited by geography, that can capture opportunities across the real estate and capital markets. This vision was underscored by the September 2025 rebrand, adopting the name Adamas, which is Greek for "firm," "unbreakable," and "lasting".

• Lead in strength, resilience, and long-term vision.
• Maintain a disciplined portfolio management approach.
• Expand investment management capabilities for attractive, risk-adjusted returns.

A key move toward this vision in 2025 was the acquisition of the remaining 50% ownership in Constructive Loans, LLC in July, a strategic move to accelerate expansion into residential business purpose lending. You can dive deeper into the implications of this portfolio shift by reading Breaking Down New York Mortgage Trust, Inc. (NYMT) Financial Health: Key Insights for Investors.

New York Mortgage Trust, Inc.'s Core Principles

While the company doesn't use a catchy, public-facing slogan, its core principles are clearly communicated through its identity and the meaning behind the new name, Adamas Trust, Inc..

• Strength: Built on a foundation of financial and operational strength.
• Integrity: Upholding unwavering core principles in all operations.
• Resilience: Combining disciplined management with a platform designed to capture opportunities across market cycles.

The commitment to these principles is defintely necessary, especially when managing a large portfolio that expanded to $8.6 billion in Q2 2025, and seeing adjusted book value per share at $10.26 despite market pressures.

New York Mortgage Trust, Inc. (NYMT) How It Works

New York Mortgage Trust, Inc. operates as an internally managed real estate investment trust (REIT), generating income by acquiring, financing, and actively managing a diversified portfolio of residential mortgage-related assets. It essentially acts as a specialized financial intermediary, borrowing money at short-term rates and investing it in longer-term mortgage assets to capture the net interest spread.

New York Mortgage Trust, Inc.'s Product/Service Portfolio

The company's strategy, especially in 2025, centers on a balanced mix of credit-sensitive and government-backed assets to deliver stable, long-term earnings. As of the second quarter of 2025, the total investment portfolio was approximately $8.6 billion, reflecting a deliberate capital allocation strategy.

New York Mortgage Trust, Inc.'s Operational Framework

The core of New York Mortgage Trust's operation is a cycle of asset acquisition, financing, and risk management designed to maximize the spread between asset yield and borrowing cost. This is how they generate their Earnings Available for Distribution (EAD), which hit $0.22 per share in Q2 2025.

Here's the quick math: they make money on the net interest spread (the difference between what they earn on assets and what they pay for financing), which widened to a strong 150 basis points in Q2 2025.

• Acquire Assets: Invest in a mix of Agency RMBS (for stability and liquidity) and higher-yielding credit assets like Business Purpose Loans (BPLs) and multi-family debt. The company acquired over $2.8 billion in assets in the first half of 2025.
• Finance the Portfolio: Fund the asset purchases primarily through short-term financing, like repurchase agreements, and through securitization (pooling loans and selling bonds backed by them). A recent example is the $370 million rated securitization completed in Q2 2025.
• Manage Risk: Use derivative instruments, mainly interest rate swaps, to hedge against interest rate fluctuations that could erode the net interest spread.
• Distribute Earnings: As a REIT, New York Mortgage Trust must distribute at least 90% of its taxable income to shareholders, which is why the dividend of $0.20 per share was maintained in Q2 2025.

New York Mortgage Trust, Inc.'s Strategic Advantages

What sets New York Mortgage Trust apart is its flexible, diversified structure and its move toward vertical integration, which gives it a defintely competitive edge in sourcing credit assets.

• Diversified Capital Allocation: The balanced portfolio-split between lower-risk Agency assets and higher-yielding credit assets-stabilizes returns across different economic cycles. The company is not reliant on a single asset class.
• Vertical Integration in BPLs: The acquisition of the BPL originator Constructive in July 2025 is a game-changer. This move provides a direct, proprietary pipeline for residential loans, letting the company control credit quality from origination to securitization and capture more value in the investment chain.
• Internal Management: Being internally managed means the senior management team are direct employees, which aligns their incentives with shareholder returns and avoids the external management fees that can be a drag on earnings for other mREITs.
• Proprietary Sourcing: The company focuses on assets, particularly credit assets, that are originated or sourced through their own channels, which creates an operational barrier to entry for competitors and allows for more attractive risk-adjusted returns.

To understand the deeper philosophy driving these actions, you can review the Mission Statement, Vision, & Core Values of New York Mortgage Trust, Inc. (NYMT).

New York Mortgage Trust, Inc. (NYMT) How It Makes Money

New York Mortgage Trust, Inc. (NYMT) generates its core revenue by operating as a real estate investment trust (REIT), primarily earning the spread between the interest income collected on its mortgage-related assets and the interest expense paid on the debt used to finance those assets. This difference is called Net Interest Income (NII), and it is the financial engine that funds its operations and dividends.

New York Mortgage Trust, Inc.'s Revenue Breakdown

NYMT's revenue structure is best understood by looking at the composition of its investment portfolio, as this dictates the source of its recurring interest income. As of the second quarter of 2025, the company has continued its strategic shift toward more liquid, high-quality Agency assets and higher-yielding credit assets, which drives its revenue mix. I'm using the Q2 2025 asset allocation as a direct proxy for the source of its interest-based revenue, which is the most stable and predictable component of its earnings.

The company's Adjusted Net Interest Income per share-a key metric for its core business-saw a significant 10% quarter-over-quarter and 47% year-over-year increase in Q2 2025, confirming the positive trend in its primary revenue streams.

Business Economics

The economics of New York Mortgage Trust, Inc. are driven by the concept of 'spread,' essentially borrowing money cheaply and lending it out at a higher rate. This is a classic carry trade business model, but with a focus on residential credit risk and interest rate management.

• Net Interest Spread: This is the most crucial metric. In Q2 2025, NYMT reported a Net Interest Spread of 1.50%, up from 1.32% in Q1 2025. This widening spread is a clear sign that the company is successfully managing its financing costs while acquiring higher-yielding assets.
• Leverage: As a mortgage REIT, NYMT uses substantial debt, or leverage, to amplify returns. The recourse leverage ratio-the debt the company is directly responsible for-climbed to 3.8x in Q2 2025, up from 3.4x in Q1 2025. This increase primarily supports the expansion of its Agency RMBS holdings.
• Strategic Shift to BPL: The company is aggressively moving into Business-Purpose Loans (BPLs), which are residential loans to investors for rental or fix-and-flip properties. The July 2025 acquisition of the remaining 50% interest in Constructive, a BPL originator, for $38.4 million is expected to be immediately accretive to Earnings Available for Distribution (EAD) and deliver approximately 15% annual equity returns. This is a clear move to capture higher-margin, less liquid credit assets.
• Pricing Strategy: The company prices its assets based on credit risk and duration. For example, in Q1 2025, new Agency RMBS acquisitions had an average coupon of 5.35%, while new Residential Loans (BPL) had an average coupon of 9.37% in Q4 2024, showing the higher yield needed for the less-liquid, higher-credit-risk loans.

The core business is simple: borrow low, lend or invest high, and manage the interest rate risk with derivatives. You can explore the investor base supporting this model at Exploring New York Mortgage Trust, Inc. (NYMT) Investor Profile: Who's Buying and Why?

New York Mortgage Trust, Inc.'s Financial Performance

The health of New York Mortgage Trust, Inc. is not just about GAAP net income, which can be volatile due to non-cash gains and losses on derivatives. Instead, we focus on Earnings Available for Distribution (EAD), which measures the recurring cash flow available to pay dividends.

• Earnings Available for Distribution (EAD): For Q2 2025, EAD per common share was $0.22, a 10% increase from the prior quarter's $0.20. This metric is defintely a better indicator of the company's operational strength than the GAAP net loss of ($0.04) per share reported in the same quarter.
• Dividend Coverage: The quarterly EAD of $0.22 per share exceeded the common dividend of $0.20 per share, indicating the dividend is currently covered by recurring earnings. This is a key sign of financial sustainability for a REIT.
• Book Value: Book value per common share, a measure of the company's net asset value, was $9.11 at the end of Q2 2025. This was a minor decrease from the prior quarter, reflecting the impact of interest rate volatility and other market factors on asset valuations.
• Portfolio Size: The total investment portfolio expanded to approximately $8.3 billion in Q1 2025, with total acquisitions for the first half of 2025 exceeding $2.8 billion, showing significant growth in asset deployment.

New York Mortgage Trust, Inc. (NYMT) Market Position & Future Outlook

New York Mortgage Trust is actively repositioning itself from a hybrid model to a more focused, internally-managed residential credit and Agency mREIT, a shift that has driven consistent growth in its recurring earnings. The company is strategically using its smaller, agile portfolio, which totaled $8.6 billion as of Q2 2025, to target high-yield, less-liquid assets like Business Purpose Loans (BPLs) while maintaining a liquid Agency Residential Mortgage-Backed Securities (RMBS) core.

Competitive Landscape

In the mortgage real estate investment trust (mREIT) space, New York Mortgage Trust operates at a significantly smaller scale compared to the sector giants, but its strategic advantage lies in its credit-focused diversification. Here's a look at its position relative to two of the largest players, based on Q2 2025 portfolio size.

Opportunities & Challenges

The company's shift toward higher-yielding credit assets and its BPL platform creates a clear path for earnings growth, but this strategy also exposes the portfolio to greater credit and interest rate volatility. You need to weigh the potential for higher returns against the inherent risks in less-liquid assets.

Industry Position

New York Mortgage Trust is a mid-cap hybrid mREIT that differentiates itself by its credit-focused niche. It's not a scale player like Annaly Capital Management or AGNC Investment Corp., but its focus on residential credit and BPLs is a smart move. The total investment portfolio expanded by 4% quarter-over-quarter to $8.6 billion in Q2 2025, demonstrating active balance sheet growth. The core strategic shift is clear: move capital into higher-yielding, less-correlated assets while maintaining a liquid Agency RMBS buffer. The company's capital allocation as of Q2 2025 was approximately 44% Single-Family Credit/Other, 18% Single-Family Agency, and 38% Multi-Family. The key is executing the wind-down of the legacy multi-family assets without incurring major losses. To see a deeper dive into who is investing in this strategy, you should be Exploring New York Mortgage Trust, Inc. (NYMT) Investor Profile: Who's Buying and Why?

• Maintain a high dividend yield, which stood at 11.94% annualized based on the Q2 2025 dividend and stock price.
• The recourse leverage ratio increased to 3.8x in Q2 2025, reflecting a more aggressive, but still managed, capital deployment strategy.
• Management's focus on growing EAD, which increased by 10% quarter-over-quarter, suggests a defintely solid path to sustainable income generation.