Events
Apollo to Wind Down Mortgage REIT Following $9 Billion Loan Sale
Apollo Global Management has announced plans to shutter its Mortgage Real Estate Investment Trust (REIT) after successfully divesting approximately $9 billion in loans.
This strategic move comes amid a broader trend in the mortgage market, where sentiment remains notably cautious, reflected in an adjusted sentiment score of 10, indicating a prevailing atmosphere of extreme fear among investors. The decision to close the Mortgage REIT aligns with a significant shift in market dynamics, as the coverage of related topics has seen a steady increase, currently standing at 42. This shift highlights the challenges facing mortgage-backed securities and REITs amid rising interest rates and tightening credit conditions, which have contributed to a negative return on capital of -19.94% over the last three months.
As Apollo navigates these turbulent waters, the market will be closely watching how this decision impacts their overall portfolio and investor confidence in the sector.