RESIDENTIAL MORTGAGE LOAN SECURITIZATION TRUSTS (Residential Mortgage [Member])

3 Months Ended

Mar. 31, 2015

Residential Mortgage [Member]

Variable Interest Entity Disclosure [Text Block]

NOTE 7 – RESIDENTIAL MORTGAGE LOAN SECURITIZATION TRUSTS

The Company has elected the fair value option on the assets and liabilities of the CSMC 2014-OAK1 Trust and the JPMMT 2014-OAK4 Trust, which requires that changes in valuations of the trusts be reflected in the Company’s statements of operations. The Company’s net investment in the trusts is limited to the Non-Agency RMBS comprised of subordinated and first loss securities, IO securities and excess servicing rights acquired by the Company in 2014 with an aggregate net carrying value of $122,385,094 at March 31, 2015.

The combined consolidated balance sheet of the residential mortgage loan securitization trusts at March 31, 2015 is as follows:

Balance Sheet	March 31, 2015
Assets
Residential mortgage loans held in securitization trusts	$	556,180,947
Receivables		1,844,367

Total assets	$	558,025,313

Liabilities and Equity
Residential securitized debt obligations	$	434,401,168
Payables		1,239,051
	$	435,640,220
Equity		122,385,094

Total liabilities and equity	$	558,025,314

The residential mortgage loans held in securitization trusts had an unpaid principal balance of $535,207,032 at March 31, 2015. The residential mortgage loan securitized debt obligations had an unpaid principal balance of $535,207,032 at March 31, 2015.

The combined consolidated statement of operations of the residential mortgage loan securitization trusts at March 31, 2015 is as follows:

Statement of Operations	For the period from January 1, 2015 to March 31, 2015
Interest income	$	5,891,779
Interest expense		3,655,469
Net interest income	$	2,236,310
General and administrative fees		(241,195)
Unrealized gain (loss) on residential loans held in securitization trusts		(3,356,407)
Net Income	$	(1,361,292)

The geographic concentrations of credit risk exceeding 5% of the total loan balances related to the residential mortgage loan securitization trusts as of March 31, 2015:

	March 31, 2015
California		50.3	%
Washington		11.7	%
Massachussetts		7.0	%