Fannie Mae-No Politics (FNMA)

[chessmaster315]

Buying exclusively preferreds, while bashing the commons like you do, is a mistake.

As I have explained, the preferreds are NOT cumulative preferreds, but Im not sure you get that concept.

Equally as important, the preferred shareholders have "no vote" when it comes to electing board members, who will serve the interests of the common shareholders who elected them. We voting common shareholders simply will not vote in any board member who wants to mess with the "non cumulative preferred" status.

This means that any dividend "windfall" that could ensue will only benefit preferred holders IN THAT QUARTER, not in the 8 years while the government stole all our dividends. If there is a one time dividend repayment, most of that would go to the commons, and only ONE quarter's worth would accrue to the preferred.