Fannie Mae-No Politics (FNMA)

[GAK-]

While I disagree (I think there will likely be a SCOTUS win, with limited backwards relief that does not include eliminating the SPS), I think it will take 18-24 months to play out. The leverage with SCOTUS is that it will forever prevent the GSE's from raising capital as long as Collins and the other lawsuits remain out there. It creates too much overhang for new investors who are being asked to put in record amounts of capital. This is basically the position of ROLG, and it makes the most sense to me.