Fannie Mae Preferred S (FNMAS)

[rosen62]

Ted Olson, Cooper and the mutual/hedge funds are smart people. But not the smartest ones.

They have to find a way to disengage from the current relationship they have with the government. The current relationship is: hedge money is evil and the culprit and the administration is the savior in the name of taxpayers. The administration dominates the conversation.

For as long as hedge funds and their lawyers don't change the basis of this relationship, the government astutely will continue to exploit it and use them as a scapegoat. Under the idea that the public needs protection from them they will continue to feel totally safe stealing from Fannie and Freddie, violating the law for the sake of a higher goal and perversely misreading HERA statute.

Hedges funds are being used. They have to find a way to disengage and leave the government weak in its arguments.

I would not be surprised -after Mel Watt's public appearance- that hedge funds/Berkowitz will come up with plan B (or plan C) and not wait for the litigation to unfold.