Fannie Mae-No Politics (FNMA)

[kthomp19]

Didnt Kthomp19 mention that the Collin's decision gives the FHFA wide discretion over the Assets of the GSEs rather than the equity of the GSEs?

Since assets = liabilities + equity, and since FHFA has control over both the assets and liabilities of the companies, by extension it can be argued they control the value of the equity.

Does Collins reallly give the Conservator the discretion to cram down one class of equity to the detriment of another?

Of course it does. If the NWS is legal, a senior-to-common cramdown is super-duper-legal-plus because it actually helps the companies.