Fannie Mae Preferred S (FNMAS)

[Joe Stocks]

Has the art of reading comprehension been lost? Dave, did you read the article or just the headline?

First of all it has a bad headline. There is nothing in the story that says anything about cutting out Fannie and Freddie. The only thing close is this statement;

"At a time when the government is struggling just to pay its bills, the sustained troubles of Fannie Mae and Freddie Mac continue to lead to calls from many to privatize the mortgage giants".


Isn't that what we want? We want to exit conservatorship and be a privately run company again.

The author also says;

"The biggest problem with Fannie Mae and Freddie Mac is that they are financial institutions with a social mission,"

I agree with that too. The government meddling in the home mortgage business is what got us into this mess. that is what I would argue if the government tries to take away our company. The article says that the government planted the seeds of our destruction. I think we could argue that "yes they did, but we fulfilled our mandate to provide affordable housing and was not allowed to exit the market to cut our losses like the other players did, and we as shareholders should not be punished for that, and while our company is again profitable and the housing industry has been stabilized we should be allowed to exit conservatorship."

Also, I don't understand the comparison to "Judas". This article was better than most that we see. Of course many do just read headlines and might walk away with the wrong impression if they did not bother to read the article.

Words I was happy not to see are; replace; eliminate; nationalize; kill; receivership. That was refreshing.