Credit and counterparty risk
Loan and security performance depends on borrower quality, commodity conditions, and counterparty behavior.
- Scope
- Agricultural Finance and Infrastructure Finance portfolios
- Materiality
- high
Federal Agricultural Mortgage Corporation
Federal Agricultural Mortgage Corp. (Farmer Mac) is a federally chartered secondary-market institution that provides liquidity and credit enhancement for agricultural and rural infrastructure lending in the United States. It buys and guarantees eligible loans and securities, issues Farmer Mac Guaranteed Securities, and offers servicing, LTSPCs, and wholesale funding solutions to lenders and investors.
| % | |
|---|---|
| Agricultural Finance | 55% Secondary-market purchases, guarantees, and servicing for farm, ranch, and agribusiness credit. |
| Infrastructure Finance | 30% Financing for power, utilities, broadband, renewable energy, and related infrastructure assets. |
| Funding | 10% Treasury and debt funding activities used to finance assets and manage liquidity. |
| Investments | 5% Investment portfolio and related treasury income supporting earnings and liquidity. |
Farmer Mac primarily serves lenders and financial institutions that originate agricultural and rural infrastructure...
- Agricultural lendersprimary
Banks, Farm Credit institutions, and other originators that sell eligible farm, ranch, and agribusiness loans or use guarantees to free up capital.
- Infrastructure counterpartiesprimary
Utilities, cooperative lenders, and finance partners that originate or securitize power, broadband, and renewable energy loans.
- Institutional investorssecondary
Investors that purchase Farmer Mac Guaranteed Securities for yield and government-sponsored credit structure.
- Agricultural and rural borrowerssecondary
End borrowers that benefit from lenders' improved liquidity, lower capital usage, and broader access to credit.
Farmer Mac's business is overwhelmingly U.S.-focused, with lending and collateral tied to agricultural regions and...
- •Business is concentrated in the United States
- •Agricultural exposure spans major U.S. farm regions
- •Infrastructure finance supports rural broadband and utilities nationwide
- •Regional commodity mix affects credit performance and losses
- •No meaningful international operating footprint disclosed
Farmer Mac is expanding its platform in agricultural and infrastructure finance while investing in technology,...
01
Technology and servicing modernizationshort-term
Improves scalability, data quality, and operating efficiency as the portfolio grows.
02
Business expansion in infrastructure financemedium-term
Broadband, utilities, and renewable energy create new secondary-market opportunities beyond agriculture.
03
Funding and capital market access
Competitive debt funding is essential to maintain liquidity, pricing, and market share.
Farmer Mac is exposed to credit, counterparty, interest-rate, and capital-markets risk because its model depends on...
Access to capital markets
The company funds assets and refinances debt through U.S. debt and equity markets.
- Scope
- Debt issuance, liquidity, and capital levels
- Materiality
- high
Interest-rate risk
Rate changes affect prepayments, loan demand, funding costs, and net interest spread.
- Scope
- Funding, portfolio duration, and earnings volatility
- Materiality
- high
Servicing and operational risk
Farmer Mac relies on internal and third-party servicers for loan administration and collections.
- Scope
- Loan servicing, data quality, and workflow controls
- Materiality
- medium
Policy and geopolitical risk
Trade, tax, regulatory, and geopolitical changes can affect agriculture and infrastructure demand.
- Scope
- Farm income, supply chains, broadband, utilities, and renewables
- Materiality
- medium
Fair value measurement of AgVantage securities
Can materially affect reported assets, equity, and comprehensive income
Level 3 financial instruments
Estimation uncertainty can move fair value gains/losses and disclosures
Credit-loss and delinquency assumptions
Affects allowance, earnings, and portfolio quality metrics
Investment securities valuation
Can affect capital levels and reported volatility
FEDERAL AGRICULTURAL MORTGAGE CORP
AGM · Federal & Federally-Sponsored Credit Agencies
FVCBankcorp, Inc.
FVCB · State Commercial Banks
FARMERS & MERCHANTS BANCORP INC
FMAO · Savings Institution, Federally Chartered
FMC CORP
FMC · Chemicals & Allied Products
FMC Corp is a U.S.-based agricultural sciences company that develops and sells crop protection and plant health products for farmers worldwide.
FARMERS & MERCHANTS BANCORP
FMCB · National Commercial Banks
Farmers & Merchants Bancorp is the Delaware-registered bank holding company for Farmers & Merchants Bank of Central California, a relationship-focused community bank with roots dating back to 1916.
F&M BANK CORP
FMBM · State Commercial Banks
: 28/04/2026