Would agree if the long rates were stabilized, but with the Fed tapering (I believe motivated to help profitability of the major banks, not because higher rates are justified by an improving economy and inflation), long rates are going to move higher over the coming months, and that will generate higher portfolio hedging costs, and threaten BV and dividend reduction. The market has not fully priced the coming poor environment for WMC, because it had been outperforming its peers.
I do not expect the long rates to go up past a year, as our economy and the rest of the world will not be doing much better than now, with aging demographics and overleveraged consumers, while governments suck more taxes from our consumer economy to pay for welfare and buy votes. It would be prudent to hold off buying WMC and all of the other MREITs until it looks like the long rates have stabilized or even appear poised to slide back down again.
I am going to hold,after all the reading on this special dividend and payout,b/c interest rates might go up a little,but the reits factor that in and the short interest rates will stay low,IMO .we will see how it works out.