Exactly...look at 10 year interest rates back in 2010. They were around 3.5% and IVR paid out higher dividends than they do now. Just waiting for the bottom where I can lock in a long term 20% return...
Hysteresis hurts. August 2011 is a better comparison than 2010. The ten year yield may be the same now as it was when we blew through 2.4% 10y UST yields during the 2011 bull flattner, but IVR the portfolio isn't the same now, so BV and earnings decrease as we blow through 2.4% now going the other way in this bear steepener in 2013. Hysteresis hurts, and that's whay AGNC and MTGE cut their div.
You have obviously analysed IVR very well, congratulations.
Now is an excellent time to pick up some more shares, It's so ironic that people are staying with HTS and other mREITS when they have a lower yield than IVR and they are not hybrid mREITs like IVR is to mitigate times like this when the Fed adds uncertainty to the mREIT market