Replies to post #630999 on Fannie Mae-No Politics (FNMA)

[altruism]

"We really don't know just how bad things could get for banks in the United States. In August, the Mortgage Bankers Association reported that the delinquency rate for mortgage loans on one- to four-unit residential properties rose 386 basis points from the sequential first quarter, constituting 8.22% of all outstanding loans by the end of the second quarter. That's the biggest quarterly increase since the MBA began tracking loan delinquencies in 1979."

https://www-fool-com.cdn.ampproject.org/v/s/www.fool.com/amp/investing/2020/09/05/stock-market-crash-20-a-perfect-storm-is-brewing/?amp_js_v=a3&_gsa=1&usqp=mq331AQFKAGwASA%3D#referrer=https%3A%2F%2Fwww.google.com&_tf=From%20%251%24s&share=https%3A%2F%2Fwww.fool.com%2Finvesting%2F2020%2F09%2F05%2Fstock-market-crash-20-a-perfect-storm-is-brewing%2F

[Potty]

Altruism, I think that is a very, very real risk -- but no one here seems to want to confront that or even talk about it

57 days to the elections, mail in voting started some places, and Trump is in a terrible state. Trump and Biden are level in TEXAS!! You know it is bad when a Republican is in trouble in Texas

I just don't think the risk here is worth it

No administrative action means JPS drops again, probably FNMAS goes back to $5-6... and then it all rides on SCOTUS

My lesson here has been not to rely on Federal Judiciary -- and ask Hank Greenberg what he thinks, too. SCOTUS likely gives a "clever" verdict making the legal points they want with no monetary return for shareholds -- like AIG... That is a real possibility

Everyone here will scream and shout and stamp their feet, but these are very real risks... I would rather invest in energy stocks where the returns are similar but the risks are far lower imho

[imtheshadow]

not sure the courts will care either way ... and unless a miracle happens, that's where we are most likely to end up ... and possibly gain the most leverage ... unless, as skeptic7 says, we get remanded back to hell's waiting room ...