Replies to post #225379 on Fannie Mae-No Politics (FNMA)

[melly4]

Ha classic. You sure cared a lot this past couple months. Now all of a sudden you don't care. Nice.

[obiterdictum]

Suggest you study up if you have to ask questions like this. The guarantee function served by FnF is well known and not in any dispute. As for the inventory amount at any given point in time, I don't know exactly and I don't really care at all. My point was and IS that AIG and Fannie are different is the sense that FNMA has ongoing risks and potential costs in the housing market and the government's risk with AIG is over and done with.

As far as is publicly known, there is no guarantee function, extended or otherwise, for $5.5 trillion of FNMA ad FMCC MBS beyond the $200 billion given to each GSE to draw on from the US Treasury as contracted in the the amended PSPAs.

So the mention of extended guarantees for "$5.5 trillion of FNMA and FMCC MBS" raised the question.

It is not my intention to be argumentative. Neither is it my intentio0n to be baited.

This is not baiting. This is asking for substantiation of a statement made.

[Dollars1]

If fnma has ongoing risks, why not let them keep net profits to recapitalize? Doesn't sound like a very responsible conservator to keep sending their profits to the Treasury. :) What will the Treasury do with that money? What have they done so far with the amount over the $187 billion?

[morseman]

AIG I believe is still the largest insurer. Does PMI no longer go thru them? If economy crashed again would AIG not need to be bailed out again? All these companies and banks are making money by fnma and fmcc recovery. They are all linked

[Always wondering]

Lol. Your barking up the wrong tree, you will be eaten for breakfast..... :-)