Fannie Mae-No Politics (FNMA)

[kthomp19]

Right now the market prices don't agree that there will be a conversion.

How do you know that?

What market prices would, to you, indicate that the market thinks there will be a conversion?

Also, it was clear that Citibank investors (common and preferred) did not expect a conversion because the prices of the two classes sharply diverged after the conversion offer was announced. The market not pricing in a conversion offer, whatever that even means, does not in any way preclude a conversion from happening.