Fannie Mae-No Politics (FNMA)

[capitalismforever]

Because in court preferreds have a preferential right. With only $1b sitting in front of them, their $19b interest is second in line to being granted judgement. For that to happen, positive equity needs to be present. To an ordinary investor, it would appear that equity isn't available based on book. To a seasoned one, there'll be approximately $19.5b of equity left over after a deferred tax impairment. But, because the rule for calculatimg NWS is based on stated book value, true equity is what I'd describe as a hidden gem.