Fannie Mae-No Politics (FNMA)

[imtheshadow]

bcde, yes, the Moelis plan primarily depends on "new" investors funding the recap requirement AND buying the warrants as you astutely note. Many have speculated that potential investors would never commit without a reversal of the NWS, fearing the govt might do it again. However, institutional investors love road kill more than anything else, and I believe enough of them will jump at the (inside?) opportunity to buy shares that have first been diluted to near nothing. And, yes, securing hundreds of billions in new capital is a big lift, but the world-wide capital market (including sovereign funds) is HUGE (est. at $118T) and should be able to handle the requirement, attracted by fire sale price (courtesy of current shareholder) in two of the largest/most important financial institutions in the world. Either we get a save by the courts or we get royally screwed (and I think Moelis is a screw job). Thanks for all of your posts.