Fannie Mae-No Politics (FNMA)

[derekjeter]

Best solution for all--

Privatize fannie and freddie, similar to Sallie Mae and have the shareholders bear all the risk. Shrink their balance sheets, however, allow the new entity access to government funds should a bailout be necessary. The fundamentals and mechanics are already in place for FnF, why would you dismantle a cash-cow?? Even better, sweeten the pot bt allowing the govt to still collect 10% on their senior preferreds and the rest to junior preferreds and common shareholders.

If they completely eliminate them, the govt will get absolutely nothing from their cash cows.