Form 4: Redwood Trust CHRO Converts DSUs, Acquires Shares

Redwood Trust's Chief Human Resource Officer, Sasha G. Macomber, converted deferred stock units into common stock and had shares withheld for tax obligations.

Summary

• Sasha G. Macomber, Chief Human Resource Officer of Redwood Trust Inc. (RWT), reported transactions on December 24, 2025, involving common stock and deferred stock units (DSUs).
• Macomber acquired 13,131 shares of RWT common stock at $5.49 per share through the conversion of Deferred Stock Units under the Executive Deferred Compensation Plan.
• Concurrently, 15,321 Deferred Stock Units were disposed of to satisfy tax withholding obligations related to this distribution and conversion.
• The fair value of the Deferred Stock Units at their original grant date was $13.18 per unit.
• Following these transactions, Macomber beneficially owns 82,372 shares of Redwood Trust Inc. common stock, and no other DSUs from the same original grant date remain.

Sentiment

Score: 6

Explanation: The filing details routine executive compensation transactions involving the conversion of deferred stock units into common stock, with a portion withheld for tax liabilities. This is an expected event for executive compensation plans and is generally neutral to slightly positive as it reflects executive alignment.

Positives

• Conversion of Deferred Stock Units into common stock represents the vesting and distribution of previously earned compensation for the Chief Human Resource Officer.
• The reporting person's beneficial ownership of common stock increased by 13,131 shares, demonstrating continued equity interest in the company.

Negatives

• 15,321 Deferred Stock Units were disposed of to cover tax liabilities, reducing the total number of shares received by the reporting person.

Future Outlook

This filing does not contain forward-looking statements or guidance regarding the company's future outlook.

Industry Context

This insider transaction report is specific to an individual executive's compensation and does not provide broader insights into industry trends or competitive landscape.

Stakeholder Impact

• Shareholders: Indicates executive alignment through increased common stock ownership, though a portion was withheld for taxes.
• Employees: Reflects the standard operation of the Executive Deferred Compensation Plan.

Key Dates

Recommendation

This Form 4 filing details routine executive compensation transactions, specifically the conversion of deferred stock units into common stock and subsequent tax withholding. Such transactions are expected under existing compensation plans and do not provide new fundamental information to alter an investment thesis for Redwood Trust Inc. Therefore, a 'hold' recommendation is appropriate as these events are neutral to the company's operational or financial outlook.

Keywords

RWT, Redwood Trust, Form 4, insider transaction, stock ownership, deferred stock units, executive compensation, Sasha G. Macomber