Fannie Mae-No Politics (FNMA)

[HappyAlways]

A quick and easy way to recapitalize the GSEs is to issue perpetual bonds with the coming years earnings.

1. Stop the NWS
2. Declare the bailout is fully repaid & waive the free warrants and SPS.
3. Convert all JPS to commons at face-value
4. Issue perpetual bonds or new JPS at 4.5% annual interest to raise $200B. Annual interest payout will be $9B.
5. Pay the perpetual bonds/new JPS interest with the annual earning

This can be done in 9 months. Just to trigger some thoughts. IMO.