Replies to post #592932 on Fannie Mae-No Politics (FNMA)

[Golfbum22]

sticky please
+1

[Donotunderstand]

not sure

I do not know the detail

I do not know the motive

I do not know the intent

I do not know the process or the structure

All that said --- here is some thinking

Freddie was literally created to compete with FNMA !! to have more than ONE liquidity producer

I am not sure if that worked or did not - to introduce competition (and now with the shared software - ?)

F and F - for all intents and purposes was an Oligopoly - (which if you like F and F but like free markets - is not good)

BO and Senate and 10000 others with various good and bad intentions want more competition ---- I agree

So - I would like to think that a smart - logical series of actions would

Free F and F (as two or one)
Introduce competition (we have some PLMBS but they tended to be ugly paper)
Then if F and F are separate - but there are say 2 -3 competitors - combine F and F

All of that is logical and nothing in the IDEA is negative to us today

All said not knowing intent motive process etc.

But on its face -that one action is not good or bad in isolation IMO