Fannie Mae-No Politics (FNMA)

[RCChristian]

Ofcourse they are collateral but what Contrarian Bull was speaking of is the "real" purpose of the warrants.

It's an investment is what he is saying:

"Their purpose is to motivate Treasury to keep f&f profitable and ultimately release them. That maximizes the value of the stock, and the warrants”

What he is saying is receivership and liquidation defeats the purpose of the Warrants which is a return on investment. The government and tax payers would lose so much if it went into receivership.