CHMI · Cherry Hill Mortgage Investment Corporation

The adoption of the 2026 Executive Compensation Plan marks a material governance milestone for Cherry Hill Mortgage Investment Corporation, directly tied to its strategic shift to an internal management structure completed in November 2024. This is not a routine annual update but a foundational recalibration of executive pay architecture — explicitly designed to replace prior external-management-aligned arrangements with a competitive, performance-driven framework appropriate for a self-managed REIT. The Compensation Committee, advised by independent consultant Ferguson Partners, conducted a comprehensive review to ensure the balance of fixed and at-risk pay reflects market standards for internally managed real estate investment trusts. The plan’s three-tiered structure — base salary, STIP (with 70% objective financial metrics and 30% individual goals), and LTIP (50% time-vested, 50% performance-vested on dual TSR measures) — embeds accountability across time horizons: near-term operational execution, mid-term strategic delivery, and long-term shareholder value creation. Critically, all metrics are externally benchmarked against a defined peer group of public REITs with similar asset focus and size, enhancing transparency and comparability. For investors, this signals strengthened alignment between executive incentives and shareholder outcomes — particularly through the dual TSR components, which tie equity awards to both relative outperformance and absolute returns. The absence of any disclosed earnings results, financing activity, or governance events beyond compensation further underscores that this filing centers entirely on executive incentive redesign as the primary driver of materiality.