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contrarian bull

10/13/17 11:57 AM

#433070 RE: jacklanvo99 #433056

Regulator Warns Capital Buffers Shrinking at Fannie, Freddie:

I hate that every time the shrinking capital buffer is mentioned - nobody says it's because the Treasury is taking it. Leaving the reason off makes it sound like F&F are losing money, being irresponsible, and contributes to the narrative that they need to be "fixed" or replaced.

I suggest a few edits to that article:
Regulator Warns Treasury theft is making the Capital Buffers Shrink at Fannie, Freddie.

Watt warned that Fannie Mae and Freddie Mac are in danger of having their capital buffers that enable the two government-sponsored enterprises to absorb financial losses completely stolen by the Federal government, a development that could put a chokehold on the mortgage market and lead to another taxpayer-funded bailout.