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Pretty sure you don't own any shares of either, yet you post on both boards
Scary stuff there. SCOTUS might side with Government based on this Amicus Brief.
Let's see if the FNMA Gamble pays off or not
The only opinion that matters is that Commons go to $20+, that they outperform Jr. Preferreds, and that Jr. Preferreds don't see anything for at least 5 years.
Otherwise, there will be lawsuits. FNMA Facts!
There have been over 5.5M the last two days in the same price region. We will likely see another 1.5-2M again today.
There's lots of Sellers at these prices. No denying it.
There's not much buying interest either. No Bueno Amigos!
The $2 Magnet is strong. Lots of Sellers in this area. It's likely the bag holders from the days of $3-5 FNMA, which we may never see again (at least not until the Reverse Split).
I think we might be seeing it unfold now. Get your popcorn ready!
Existing Commons get Cancelled and Jr. Preferreds become Commons in the New Companies.
It's Coming Amigos!!
Yikes! So keep Jr. Preferreds and Cancel Commons? Wow.
This is starting to look like my original plan.
No Bueno Amigos
Lots of volume lately. It's all been Selling volume though.
No Bueno Amigos!
That footnote from Layton is scary. Maybe he knows something about what's going to happen to Commons?
Layton:
It's a vote of confidence. Something Commons lack.
FNMA is on sale because of Prime Day is the rumor I'm hearing.
Also hearing the discount on Commons will be offered for a while to come There may even be a Fire Sale in early November and again in early December
Commons don't want the Capital Rule finalized unfortunately. Assuming Calabria moves forward with the 4% rule and finalizes it, Commons are going to drop ~20%.
Seeing a strong Rotation from Commons to JPS today. We're likely seeing some re-positioning into a more solid investment thesis (Jr. Preferreds) due to the election, followed closely by SCOTUS.
The Market is listening to kthomp. Commons likely keep dropping now that the FNMA Facts have been disclosed.
I know I wouldn't want to be holding Commons heading into either of these major events.
It was probably Gaby saying to buy JPS and sell Commons.
Jr. Preferreds saw a little spike at the same time.
FNMA needs more Legal Experts like kthomp. His analysis is on point and clarifies a lot of confusion for anyone that cares to truly understand this investment.
Now everyone can see why Commons are stuck at $2.
I believe SCOTUS will disagree with you. Therefore, I have sold all of my Commons (0.1%) and bought more Jr. Preferreds.
This is likely why the capital buffers increased roughly the same amount as the outstanding Jr. Preferreds.
SCOTUS declares HERA unconstitutional, says Receivership should've occurred, Calabria then endorses it, and Jr. Preferreds get paid.
Commons are unfortunately hung out to dry. No Bueno Amigos
Maybe they trash HERA and declare GSE Receivership. That could be the SCOTUS Surprise!
Exceptional FNMA Facts. Sticky please!
Agreed, 1369(b)(4) and 1369D(d) are basically 4617(f).
So SCOTUS can toss out HERA and the GSE Act will still have allowed everything that HERA did.
Another failed legal case by Yank and Ano
Does that include Treble Damages or are those separate?
SPS Cramdown equals instant recapitalization, so Dividends would resume the following quarter most likely.
JPS Conversion happens with near certainty if the GSEs actually have to raise capital from selling Common stock. This is the most likely scenario.
Those court cases are all irrelevant at this time. Sweeney won't be making any rulings until end of '21, likely into '22, and any judgment helping Plaintiffs will be appealed for years to come.
And I wouldn't expect any of that money to come back to the GSEs in the event of a SPS Cramdown. That will just be dividends on the Treasury's Sr. Preferred shares, since the GSEs weren't allowed to pay them back ever as per the Contracts the Board of Directors signed. Best case, they'll get whatever amount over the 10% moment back
They are separate topics, both of which directly impact FNMA Commons.
Earlier I said:
Big Sellers down here around $2. The Magnet is strong.
JPS won't want to Convert if they implement the SPS Cramdown Plan since Commons would be near worthless in the scenario
Waiting to see if the SPS Cramdown Plan is enacted in the Lame Duck session. Only then will Commons have some breathing room.
There are just too many Sellers down here. And I don't blame them. There's way too much uncertainty surrounding FNMA Commons.
We have no idea how many shares will be outstanding when the capital raise is completed.
Commons continue to be for Gamblers. No Bueno Amigos
More info here: https://investorshub.advfn.com/boards/read_msg.aspx?message_id=158822643
Correct. It was just Sellers, not Shorts.
See my post from yesterday:
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=158815108
Expecting Sellers on Monday since ER didn't occur.
Probably back to sub-$2.
Make sure to grab Jr. Preferreds to hedge those RISKY Common shares
This is true and I agree with you.
Exceptional FNMA Facts. Sticky please!
I imagine the Reverse Split will be announced via an 8K.
By then, it'll be too late to sell and much too late to file a lawsuit preventing it.
No Bueno Amigos