AGNC

AGNC Investment Corp. buys packages of home mortgages that are backed by government agencies like Fannie Mae and Freddie Mac. These mortgage packages pay out interest and principal payments to investors like AGNC. The company is structured as a real estate investment trust, which means it pays out most of its income to shareholders instead of paying corporate income taxes. AGNC essentially acts as a middleman between the mortgage market and investors seeking steady income from housing loans.