Fannie Mae-No Politics (FNMA)

[FOFreddie]

Thanks for the Tim Howard post mrfidlsticks. Here is an excerpt:

This, of course, is not Fannie’s fault; it is another stupefying consequence of the company’s conservatorship under FHFA. The former director of FHFA, Mark Calabria, has admitted that CAS are a “looting” of Fannie, yet knowing this, the current director, Sandra Thompson, continues to use both carrots (capital credits) and sticks (CRT issuance goals that reduce executive compensation if not met) to encourage CAS and STACR issuance, even as the costs of these deals soar and their benefits dwindle, making the looting even greater.