Replies to post #597235 on Fannie Mae-No Politics (FNMA)

[FFFacts]

How do you know that?

My observation is based on the market prices of the individual preferred securities.

What market prices would, to you, indicate that the market thinks there will be a conversion?

The prices would be trading at much higher levels and they would be closer among the various series. Right now it is too wide. Market is still pricing higher yields at higher prices.

Also, it was clear that Citibank investors (common and preferred) did not expect a conversion because the prices of the two classes sharply diverged after the conversion offer was announced.

I am willing to review this if you can provide a chart with the public announcements of said conversion and terms at least 30 days before and after of event.

The market not pricing in a conversion offer, whatever that even means, does not in any way preclude a conversion from happening.

I never said it did. Market is often mispriced from expectations.

[Louie_Louie]

Nor does it mean one will happen, and you are speculating!