Replies to post #352921 on Fannie Mae-No Politics (FNMA)

[Donotunderstand]

my saying that preferred will not be treated like debt in a normal liquidation is not saying common is the better option to speculate with

my post was in response to what you had posted about the treatment of preferred v common in a normal bankruptcy (posting that preferred are more like debt than equity)

all my experience - as an amateur - says equity is equity be it preferred stock or common. Said another way - debt is the place to be in a normal liquidation and debt ends (debt waterfall stops) with TRUST preferred stock and does not include preferred shares

(yes preferred would be paid up to PAR before common are paid - unless there is some special deal for common which I do not see)