Fannie Mae-No Politics (FNMA)

[Donotunderstand]

Barron

yes - these are unique !!!

The GOV has called them equity and the money "sent" to F and F is called an investment not a loan
I imagine the GOV books reflect this

At same time - normally Preferred Stock are issued without an expiration date - for last 20 years or so (in prior years most JPS had maturity dates).

I do not think the SP have a maturity date but --- but ---- I do believe the GOV has the right to demand payment as if they matured - a put on F and F (this put might be after x years like 10 years OR OR when F and F have X in capital OR OR before F and F can again return to ---- ====== . Thus while an investment the GOV has a right to demand they be redeemed !!! So that cost to F and F - about 200B in cash sits on them as if it were debt and maybe more like DEBT that is matured --- but redemption is delayed while dividends are paid?