Replies to post #618710 on Fannie Mae-No Politics (FNMA)

[Commons_Cancelled]

The Financial Advisors will be making their recommendations once the Capital Rule is finalized. We'll have to wait and see what they suggest.

I think if the GSEs were to issue new JPS, the yield would be closer to 3-3.5%.

But I don't see them issuing many new JPS since they don't count towards CET1. Unless of course they issue Convertible JPS, those could count towards CET1.

So we can assume the bulk of the re-IPO (share offering) will be via Common stock, which equates to significant dilution for existing Commons.

And, of course, we can't forget about those pesky Warrants for 79.9% ;-)

#It'sComingAmigos