Fannie Mae Preferred S (FNMAS)

[44centsAKAchoccake]

David, refer to your zero coupon bond example.

You're solving for PV. When T increases, PV decreases.

With the Ackman plan, ie, retain capital for years in order to recapitalize, the T increases for a pfd shareholder to realize value.

This may get deleted, I know some don't like me.

I preached this value rotation from pfd to commons, just after the ruling.

David, you agreed with me then. Not sure, I guess you tried to switch from common to pfd to get better relative value.

That is my opinion. I own some FNMAS. Took the trade with a stop loss at 3.70. Still holding, but I prefer the mega upside in commons