Fannie Mae-No Politics (FNMA)

[imtheshadow]

A few comments:

- first, many thanks to kthomp, yanks and other who have read a ton of materials and crunched many numbers. All of it is greatly appreciated

- next, I bought FnF common just days before the cship ... which was also just days after our trustworthy gov't told us they were sound

- I have held on because I believe in the rule of law (maybe stupidly), but I'm realizing that I probably should swap some of my common for jrpfd as a hedge. Problem is, I don't know squat about comparing/buying the jrpfd - SO IS THERE ANY ADVICE ON WHERE I SHOULD START IN CHOOSING WHICH JRPFD's TO BUY? TIA for any advice (btw, I invest through Schwab and not sure if I would trust their advice on a matter like this)

- does anyone know if the warrants get 80% of pre-RRR commons, or post-RRR. If the former, would that make the gov't more sensitive to diluting themselves if the RRR is draconian for the common?

- Finally, there appears to be 4 possible sources of dilution: warrants, recap, jrpfd conversion and, god forbid, srpfd "repurchase". We have been crushed in the courts, but those efforts are far from over and I find it a bit difficult to believe a RRR that dilutes common to likely less than 5% would be possible while all the existing suits remain in play.

cheers, and thanks again to all the great poster

Below Average Joe