Fannie Mae-No Politics (FNMA)

[big-yank]

Government will have no choice if the GSEs enter receivership. The conservatorship ends, FHFA disappears and a liquidation trustee will settle all affairs in a wind up, not wind down distribution of proceeds from asset sales and cached reserves. The battleground then moves the legality of senior preferred equity vs. junior preferred equity to the forefront in a true, "fully ripe" scenario that even Lamberth would like rule on in favor of junior stockholder rights.

JMHO.