Fannie Mae (FNMA)

[contrarian bull]

Maybe 2017 is a bad example, but say at the end of 2018 they have a net worth of $75B. They make a payment of $72B to treasury, retaining a $3B net worth.

Then in Q1 the following year they have to mark down mortgages due to market changes, and their net worth is negative $5B. There wouldn't be a payment due, but their net worth would still fall negative, meaning under current rules they would need a draw.

I guess the plan is to change the 60-day negative net worth rule to 1 year too? That seems risky.

Annual payments would have meant no draw is needed because the profits from the first three quarters would have more than covered the loss in Q4.