ANNALY CAPITAL MANAGEMENT Business Summary

Annaly Capital Management Inc. (NLY) operates as a leading mortgage real estate investment trust (mREIT), primarily generating revenue through net interest income derived from the spread between yields on its long-term mortgage-backed assets and its short-term borrowing costs. The company’s diversified capital management strategy is organized into three primary business segments: Agency Mortgage-Backed Securities (MBS), which focuses on residential mortgage-backed securities guaranteed by U.S. government-sponsored enterprises; Residential Credit, which invests in non-agency mortgage assets and residential loans; and Mortgage Servicing Rights (MSR). As of early 2026, Annaly maintains its position as the largest pure-play agency mREIT by market capitalization, leveraging its massive scale to achieve lower economic funding costs and higher operational efficiency than its peers. Its primary direct competitors include AGNC Investment Corp., ARMOUR Residential REIT, and Dynex Capital, against whom Annaly differentiates itself through a more diversified portfolio mix that includes significant MSR and credit exposure to hedge against interest rate volatility. Annaly was founded in 1996 by Michael A. J. Farrell and Wellington J. Denahan, who established the firm with a vision of providing consistent risk-adjusted returns through various interest rate cycles. The current leadership team is headed by David L. Finkelstein, who serves as Chief Executive Officer, President, and Co-Chief Investment Officer, bringing over 25 years of fixed-income experience including a high-profile tenure at the Federal Reserve Bank of New York. The executive suite includes Chief Financial Officer Serena Wolfe, formerly a partner at Ernst & Young; President and COO Steven F. Campbell, who previously held senior roles at Fortress Investment Group; and Chief Technology Officer Sashi Nair, who joined in 2024 from JPMorgan Chase where he led securitized products technology. The company is overseen by an experienced board chaired by Thomas Hamilton and is backed by major institutional investors, including BlackRock and The Vanguard Group, which collectively hold significant stakes in the firm.