Principal Investing

FBR Group, Inc. invests for the benefit of its shareholders in mortgages and mortgage-related securities and in a portfolio of merchant banking and other long-term assets. Most of the income from these principal investments is untaxed at the corporate level and is passed directly on to shareholders as taxable dividends or capital gains.

Our merchant banking portfolio puts our equity capital to work alongside that of our clients and other investors in selected transactions that our investment banking group underwrites. These investment decisions are driven by the same fundamental valuation approach we use in our research and underwriting transactions.