Fannie Mae-No Politics (FNMA)

[jeddiemack]

Sure.

Essentially the original poster was pro Fannie and Freddie. As i am ... but,

they are willing to sell the entity and shareholders down the river with all the dilutive effects of the government.

They've bought into the 10% interest rate (which is 10x the governments cost of capital.

They've allowed the warrants which is theft.

Doing these things will crush the potential of these entities to raise capital and continue supporting America.

Remember, Fannie and Freddie have to create "capital" as a backstop to potential future losses. The reality is they can't do it without being released. But, there would be some captital raise. Doing so with an 80% dilution, Will leave the shareholders after a secondary offereing or some of them wilth around 12% of the equity. Instead of around 90% without the warrants.

Plus, setting fannie and freddie free with no warrant dilution will be accretive to the shareholders that will sell the stock and buy stuff. Buying stuff will be great for the econeomy And selling shares will be a windfall of tax revenue for government. A win /// win situation.

So,... i simply wrote....

No to the OP.'