Fannie Mae-No Politics (FNMA)

[JosephS]

No. These companies cannot and will not be forced to recap over 15-20 yrs. No company that has profits like these guys would do that. It is too risky. Like AIG, you do capital raises in the secondary market. This lowers the likelihood of a problem in a 25-40% decline in housing environment.

A recap IS bringing private capital back to the market. Period. The scream for private capital can be silenced.