Invesco Mortgage Capital Taps Sallie Mae CFO for Board Amid Headwinds

ATLANTA, GA – August 03, 2026 – Invesco Mortgage Capital Inc. announced today it has appointed Peter Graham, the Co-President and Chief Financial Officer of Sallie Mae, to its Board of Directors. The move comes as the mortgage real estate investment trust (mREIT) navigates a challenging macroeconomic environment marked by interest rate volatility and pressure on earnings, signaling a strategic effort to deepen its financial and risk management expertise at the highest level.

Mr. Graham, who brings over three decades of experience in financial services and corporate finance, will also join the Board's critical Audit, Compensation, and Nomination and Corporate Governance committees. His appointment is effective immediately.

A Strategic Move for Financial Fortification

For a company like Invesco Mortgage Capital, whose profitability is intrinsically linked to the delicate dance of interest rates, capital markets, and mortgage asset performance, adding a seasoned public company CFO is a significant strategic maneuver. The company's recent performance underscores the turbulent waters it is navigating. In its second quarter of 2026, the mREIT reported earnings per share of $0.34, substantially missing analyst expectations, and saw its book value per share dip slightly to $8.03. These results reflect broader industry headwinds, including a flattening Treasury yield curve that compresses the net interest spreads central to the mREIT business model.

Don Liu, Chair of the Company's Board of Directors, lauded the appointment, stating, "His extensive expertise in financial services and corporate finance will provide an immediate and positive contribution to the Board. Additionally, Pete's corporate leadership experience and strategic acumen will offer insight and perspective that is deeply valued by the Board and the Company." This sentiment is echoed by industry observers, who see the appointment as a proactive step to bolster governance.

Graham's placement on the Audit Committee is particularly noteworthy. As a sitting CFO with a background that includes time at KPMG, he brings a profound understanding of financial reporting, internal controls, and the auditor's perspective. This expertise is invaluable for ensuring the integrity of financial statements in a complex, externally managed company. His senior executive experience at Sallie Mae will also inform his role on the Compensation Committee, providing insight into structuring executive incentives that align with shareholder interests, a key governance function in the REIT space.

A Career Forged in Financial Complexity

Peter Graham's career trajectory showcases a leader seasoned by diverse and demanding financial environments. Before his current role as Co-President and CFO at Sallie Mae, where he oversees a highly regulated, interest-rate-sensitive student loan business, he served as CFO for PRA Group, a global leader in acquiring nonperforming loans. That role required a deep understanding of credit risk, distressed asset valuation, and complex regulatory landscapes—skills directly transferable to managing a portfolio of mortgage-related assets.

His foundational experience was forged over more than a decade at General Electric, where he held a series of executive finance roles, including CFO for GE Commercial Distribution Finance and GE Capital Markets. Operating within a massive, diversified conglomerate like GE provided him with extensive exposure to sophisticated capital markets operations, treasury functions, and large-scale strategic financial planning. This background in managing complex balance sheets and navigating capital markets is precisely the kind of experience that benefits an mREIT focused on optimizing its portfolio and capital structure.

"Having a director who has managed financial strategy through various economic cycles and across different segments of the lending industry adds a layer of resilience to the board's decision-making process," noted one corporate governance expert. This diverse experience, which even includes a period structuring complex international film financing deals, underscores a versatility and creative approach to finance that can help Invesco Mortgage Capital identify opportunities and mitigate risks in a fluctuating market.

Navigating the Mortgage REIT Headwinds

The appointment comes at a pivotal time for Invesco Mortgage Capital and the broader mREIT sector. After a strong close to 2025, the first half of 2026 brought renewed pressure from rising interest rates and persistent inflation concerns. The company's strategy has been to lean into its Agency residential mortgage-backed securities (RMBS) and commercial mortgage-backed securities (CMBS) portfolio, which grew 12.4% to $8.2 billion in the second quarter. It has also been actively raising capital, securing over $250 million year-to-date through its at-the-market equity program to fund these investments.

While the company generated a positive economic return of 3.8% in Q2, driven by attractive carry and contracting risk premiums, the underlying earnings pressure remains a key focus for investors. Graham's expertise in capital markets and risk management is expected to be instrumental as the company continues to manage its leverage, hedge its interest rate exposure, and optimize its investment portfolio. His experience at Sallie Mae, another entity highly sensitive to federal monetary policy, provides a relevant playbook for navigating the current environment.

This move also follows a recent leadership transition at Invesco Mortgage Capital, with Kevin Collins taking over as CEO. Adding a strong, independent financial voice to the board during a period of both market and internal transition can provide stability and reinforce a commitment to rigorous financial oversight. The board's ability to effectively guide management through these headwinds is critical for maintaining dividend stability and delivering long-term shareholder value.

The Evolving REIT Boardroom

Graham's appointment is emblematic of a broader trend in the REIT sector, particularly among mREITs: the increasing prioritization of deep, diverse financial expertise on their boards. As markets become more volatile and financial instruments more complex, boards are moving beyond traditional real estate experience to recruit directors with specific expertise in capital markets, risk management, and public company financial leadership. Invesco Mortgage Capital's board already includes members with backgrounds in urban real estate development, public accounting, and leadership at a Federal Home Loan Bank.

By adding a sitting public company CFO, Invesco Mortgage Capital is enhancing its capacity for strategic oversight in a way that directly addresses its most pressing business challenges. In an externally managed structure, where key executives are employees of the advisor (Invesco Advisers, Inc.), the role of a strong, independent board becomes even more crucial for governance and accountability. The selection of a director with Graham's specific skill set demonstrates a clear understanding of the capabilities needed to guide the company through the intricate financial landscape of 2026 and beyond.