Fannie Mae-No Politics (FNMA)

[Wise Man]

After calling his boss "coward", Guido promotes his boss' will, about a conversion of JPS into common stocks.

3) conversion of jps to commons at ratios extremely detrimental to commons.

Something, the plotters are after since day one.
Even hiring lobbyists like ACG Analytics, that took the place of the battered Moelis shop.


Thinking that the more damage with the stocks trading at rock bottom prices (This is why they don't challenge the Warrant, the 10% dividend, the gifted SPS, the breach of the Restriction on Capital Distributions, the FHFA-C's Rehab Power, etc.) and the lengthy the conservatorship is, it increases the chances of a conversion of the non-convertible JPS to common stock, out of pity.

The conservator can extend the conservatorship using its Incidental Power "authorized by this section, in the best interests of FnF and the Agency".
Therefore, if it's legal, we cannot complain, other than complaining about a FHFA being too harsh, since the dividend payments should have been resumed one year ago in the case of Fannie Mae, and one year earlier in the case of Freddie Mac, under the Separate Account plan. A non-cumulative dividend suspension meant to build capital in FnF.

If the FHFA is seeking the expulsion of unwanted Equity holders, 2016 FHLBanks-style (what a threshold of CET1 > 2.5% of Adjusted Total Assets is for, mentioned in my prior post), only the Congress cares, that might reprimand this rogue Agency for deciding that only stakeholders in Housing Finance can be members of a new Privatized Housing Finance System revamp, when the Congress didn't give it an authority to that end.
This is an ongoing Conservatorship (non-stop) bound for a Privatized Housing Finance System chosen for the release by the UST in 2011 (Source), when it was required by the Dodd-Frank law, to come out with recommendations on ending the Conservatorships, and every quarter the figures are adjusted.

As of September 30, 2023, the Equity holders have a legal claim on a $150.9 billion cash refund to FnF, plus a posting of $228 billion on their Retained Earnings accounts, after retiring the Treasury Stock.
Any other claim, like a conversion JPS to common stock, arises from the ongoing Fanniegate conspiracy, and it's when the DOJ steps in.