Annaly's Dividend Dilemma: A Cautionary Tale for Income Investors Annaly Capital's 13. 7% dividend yield is a magnet for income investors seeking steady returns and high payouts.
However, beneath this attractive facade lies a complex reality that reveals a company struggling to balance its short term goals with the long term risks of its business model.
At its core, Annaly operates as a mortgage REIT, issuing stock and debt to fund investments in mortgage backed securities.