Fannie Mae-No Politics (FNMA)

[Robert from yahoo bd]

"By contrast, there is no indication that the Biden Administration is so keen to pursue a capital raise or even a Conservatorship exit. Having this case drag on for years to come is likely now less of a concern. The priorities of Acting Director Thompson and of the Administration lie elsewhere.

Unlike the Trump Administration, in which both Treasury Secretary Steven Mnuchin and his advisor Craig Phillips had ties to, and an interest in, the housing finance industry and Fannie and Freddie, there is no immediately identifiable member of the Biden Administration at either Treasury or in the White House charged with assuming responsibility for the question of “what to do with the GSEs.”

At some point, the retained earnings that are now accumulating (as required by the “fourth amendment”) will make a Conservatorship exit economically feasible – but that date is likely years off."