Replies to post #538284 on Fannie Mae-No Politics (FNMA)

[YanksGhost]

I hearby dub this: "The Ranger Rick Plan" with all rights and honors pertaining thereto.

This is far better than Moelis and far more thought through than the "Secret Squirrel Plan" ever thought about being.

KUDOS.

[bcde]

"The primary plan is to prevent another tax payer bailout. This is done by recapitalization in order to achieve a safe and solvent state. The primary goal of the plan is not to screw over the shareholders. I doubt the government even cares if shareholders make out like bandits or not. The government, however, completely cares about the tax payers. Do no harm to the tax payers. "

RickNagra,
Are we not starting with wrong assumptions.

FnF were never a risk to taxpayers anytime. FnF were forced in to conservatorship for part ideological and part to bailout bankrupt financial system. Official statement from FHFA director during start of conservatorship is very clear about bailing out bankrupt financial system by proving unlimited liquidity to markets.

Nobody cared about taxpayers in the past and nobody cares about taxpayers now. It is just a political slogan to mislead public. White house has realized the importance of FnF to economy and has taken a decision to restore them to their previous status rather than handover their business to TBTF banks.