Replies to post #670831 on Fannie Mae-No Politics (FNMA)

[RumplePigSkin]

LuLeVan - why would Tim Howard call JPS shares a "quagmire?" Why has JPS shares lost 50% value compared to Common shares?

Much simpler ... as no one reads long diatribes ...

[LuLeVan]

If the commons "win", the JPS will for sure "win" as well.

Unfortunately, the same is not true the other way around.

So there a scenarios, as KThomp19 pointed out, in which the JPS could reach par and the commons become ultimately almost worthless due to massive dilution.

IMHO, the worst quagmire is too much risk with too little potential reward.