Dynex Capital is a real estate investment trust (REIT) that invests in loans and fixed-income securities backed by single-family residential and commercial mortgage loans. The company isn't too picky, investing in both investment-grade and subprime loans and adjustable-rate and fixed-rate loans. However, citing competition and a "lack of compelling opportunities" in a volatile marketplace, the company makes few new investments and has been slimming down its balance sheet by selling off assets, including all of its manufactured home lending and delinquent property-tax receivable portfolios.