Redwood Trust Inc is a real estate investment trust that focuses on residential mortgage loans and mortgage-backed securities. The company operates through two segments: Mortgage Banking and Investment Portfolio. The investments in residential mortgage loans are generally made through a Sequoia securitization entity or the sale of the loans to third parties. The mortgage-backed securities are mainly acquired by Redwood Trust from third parties or by the retainment of the securities issued by Sequoia securitization trusts. The company also invests in other assets, securities, and instruments that are related to residential and commercial real estate.