Fannie Mae-No Politics (FNMA)

[MLAT24]

There might even be capped rates of return, with overages going to Treasury as a sort of nouveau NWS.

I recall you mentioning this in a prior post and assumed this would be the fee for the gov guarantee. However, curious if you think this could also serve to function as mechanism by which a fiduciary could gain assurance that the money used for recap wouldn’t be taken so easily.. As in, the government would take some % loss of their stake before the new money would? How else could they provide that assurance to new money without legislation?

Always look forward to the KThomp19 posts.