A brief interview with
Bill Greenberg & Matt Koeppen,
Two Harbors' Co-Chief Investment Officers
|Bill and Matt, let's start at the beginning: What path did you take to get to Two Harbors?|
Bill Greenberg After receiving my Ph.D. in theoretical nuclear physics, I began my financial career in 1994 at Natixis NA, where I co-managed portfolios of RMBS and MSR for 14 years. At the height of the financial crisis I took a job at UBS where I held a variety of positions, including becoming the Co-Head of trading within the SNB StabFund, where we managed $40 billion of distressed assets owned by the Swiss National Bank, and Head of Mortgage Solutions where we managed the firm's repurchase liability risk associated with more than $100 billion of securities and loans. In 2012, believing that the post-crisis regulations would create opportunities for mortgage REITs and attracted by the business plan of investing in MSR, I came to Two Harbors. It's easy for me to say that in my 26 years in the mortgage market, I have never worked with such a talented and extraordinary group of people.
Matt Koeppen2020欧洲杯预赛直播 I first became interested in the bond business while interning at Lehman Brothers twice, both at Lehman Brothers International, Ltd. in London and a summer internship in New York. Being a Minnesota native, I landed at Cargill, which had a large proprietary trading operation. I spent over 16 years there developing my portfolio management skills and RMBS market knowledge. When I joined Two Harbors in 2010, it was a newly formed mortgage REIT offering an exciting opportunity to build and grow a business in the post-crisis environment.
|How do you approach co-managing the Two Harbors investment team?|
Bill Greenberg We have built a highly driven and innovative team made up of individuals with diverse backgrounds, all of whom weigh in on investment decisions. Matt and I have been working closely together for more than 7 years now, and we have a great partnership. Although we have different approaches to the markets, we have similar respect for risk and risk tolerances. We think that this partnership is very beneficial to the portfolio and to stockholders.
Matt Koeppen2020欧洲杯预赛直播 Each team member is empowered to bring investment ideas to the table. We arrive at the best idea through open dialogue with the entire team. The mortgage REIT market has gone through many economic, political, and regulatory environments since Two Harbors was formed in 2009. I'm confident in our team's ability to continue to navigate changing market conditions.
|What is your investment philosophy for the Two Harbors' portfolio?|
Bill Greenberg Our focus is on long term value and we are less concerned with short term price fluctuations. Capital appreciation and income generation are really just two sides of the same coin, as it's total return that really matters. We attempt to construct the portfolio in such a way that it is expected to perform well over a variety of market cycles. All of the actions we take are intended to generate strong risk-adjusted returns over the long term.
Matt Koeppen In addition to working together for the past 7 years, Bill and I each have over 25 years of mortgage market trading and risk management experience, which informs our principal belief that preserving and growing book value is the key driver of stockholder returns. Every decision Bill and I make is with this idea in mind. While we are mindful of various performance metrics, our objective is first and foremost book value preservation and growth.