Fannie Mae-No Politics (FNMA)

[GetRich1day]

The government should let them out of conservatorship once the remainder of the bailout money is returned. FHFA states that "A conservatorship is the legal process in which a person or entity is appointed to establish control and oversight of a Company to put
it in a sound and solvent condition." fannie will prove that they are solvent when the bailout funs are all paid back which could happen as early as the end of the year. This depends on a few lawsuits and their profitability the next few quarters. FHFA states
"When will the conservatorship period end?
A: Upon the Director’s determination that the Conservator’s plan to
restore the Company to a safe and solvent condition has been comple
ted successfully, the Director will issue an order terminating the conservatorship. At present, there is no exact time frame that can
be given as to when this conservatorship may end. " IMO and many others the conservatorship should end once the bailout funds are completely sent to the Treasury. It is widely suspected that it would be a Fifth Amendment violation if the gov't continues to hold F&F it's very similiar to what happened with AIG. Shareholders are entitled to just compensation.
Next point the gov't stated that they want wind down F&F because they do not want taxpayers to be on the hook. The problem is that nearly every expert testifying on the Hill has said that F&F needs a gov't backstop. The current FHFA plan implemented by DeMarco is to create a joint entity owned by both F&F something called a Common Securitization Platform. This sounds just like a joint venture to me which means shareholders are good. This board has a ton of links that point to this. Good Luck