Starwood Property Trust hopes to shine brightly in the world of mortgages. A real estate investment trust (REIT), the company originates, finances, and manages US commercial and residential mortgage loans, commercial mortgage-backed securities, and other commercial real estate debt investments. It acquires discounted loans from failed banks and financial institutions, some through the FDIC, which typically auctions off large pools of loan portfolios. Starwood Property Trust is externally managed by SPT Management, LLC, an affiliate of Starwood Capital Group. As a REIT, the trust is exempt from paying federal income tax so long as it distributes quarterly dividends to shareholders.