Fannie Mae-No Politics (FNMA)

[Donotunderstand]

bradford

JPS are also speculation

Proof ?

Look at their current PPS

1/10th of PAR

If this was debt - and sold at a 90% discount of FACE it would be below AAA and below most junk and ZZZ rated - face it

Common holders and JPS holders are speculationg that the SPS will be viewed as paid off

If the GOV says NOPE ---- F and F owe all of that - then JPS might become common and share any and all fate of common

The key - IMO - as always - is does the GOV yield the NWS overpayment? Does the GOV yield the SP to payment at 5% interest v 10% interest (do that math - I have not but it might be 50B ?)

We all lose in our speculation if SP is not viewed as mostly if not entirely paid off

That is an opinion

But so is the statement that JPS is somehow not a major specualation

All said by one that owns both and indeed can see maybe a 15% or whatever chance that one or the other comes out way ahead of the other

All said by one who believes right now JPS is a smarter speculation for new money ---- but a speculation

A GOV under a law HERA and with FHFA able to do as it wills per SCOTUS can one day simply wipe out JPS --- just as it can Common

Why ? Because we are a level of dishonesty and anti law that such action is a mere inch away -----