Freddie Mac-No Politics (FMCC)

[FFFacts]

Why don't they just do the death by a thousand cuts route and load the gses up with expenses associated with their social and equitable agenda under the guise of "the public it serves"?

Who is to say they haven't or aren't in the process already. You heard the CEO's on the last conference call put out statements supporting 'progressive' housing agendas.

If a federal court never orders them to stop, being 100% in control and loading them up with money losing social programs specifically aimed at their voter base could work for them while we wait for the federal courts to figure out what if anything they are going to do.

We are already in the middle of a manufactured bubble. It is very possible once the bubble bursts Fannie and Freddie go into receivership, sell off assets via their living will mandates, formally go through bk and it's even possible that a recap occurs. There is no catalyst to do anything right now because the party in control has the senate, house and executive.