Fannie Mae-No Politics (FNMA)

[kthomp19]

IF I'm an investor, and I look at how the prior investors were treated... especially the commons... why would I ever commit a single dollar that way?

Investors who bought when? Ones who bought before conservatorship should have been wiped out the way other shareholders of bailed-out companies were, and ones who bought after would get around $11 per share which would be a gain of at least 100%, as much as 4300% (cost basis of $0.25). I can't characterize either of those as mistreatment.

Keeping the companies in conservatorship this long, and the NWS itself, are clearly harmful to shareholders. But those are also things that have already happened. If the mere occurrence of those is enough to permanently keep prospective investors away then we will never see a recap.

The gov't needs to cut a check to the investors and apologize for it's actions.

Cutting a check won't be necessary. Implementing a plan towards recap and release, like Moelis does, will raise share prices enough that current shareholders will make money without the government having to pay out a dime.

Real people died poor because of this

Anyone who got completely wiped out as a result of owning shares in FnF succumbed to excessive portfolio concentration. No investment is perfectly safe.