Fannie Mae-No Politics (FNMA)

[YanksGhost]

<< ... it was the hedgefunds that rescued the abandoned kittens and puppies (fannie and freddie) and saved them. >>

I must disagree with the trailing part of your otherwise excellent narrative. The only thing the hedge funds "rescued" was enormous chunks of common and JPS shares. These shares were purchased at distressed prices as high-risk/high-reward investment choices THEY chose to make with full knowledge of possible negative outcomes under conservatorship.

Number one, they haven't saved anybody anything, yet. Number two, their legal entanglement may have impaired chances for any earlier settlement of benefit to Average Joe investors. And number three, much of their campaign for various RRR and legal actions serves only their specific interests and agendas, potentially at the expense of private investors not named as plaintiffs in litigation who may receive no damages in court cases pending.

I have a very hard time envisioning Perry, Paulson, Berkowitz and Schwartzman as the cavalry riding in for our rescue on white horses. Ill give Ackman and the legacy stakeholders like Washington Federal a pass on purity of motives, but not most of the hedgie claimants. My opinion.

Merry Christmas to you.