Fannie Mae-No Politics (FNMA)

[mikar]

FNMA has done $3 trillion in mortgages since 2009 and has stabilized the mortgage market. Winding them down would destabilize the market and nobody wants that again.
Being profitable again makes it a lot harder to wind down as well. The 5th amendment law suits would go on forever. Some sort of reform with both companies intact is probably the way to go. But I agree, until the market has a better feeling how FNMA is going to end up, the upside will be limited.