Replies to post #742220 on Fannie Mae-No Politics (FNMA)

[Achilles deFlandres]

If stock buybacks are now taxed, thanks to CJ our patriotic hero, how would a buyback at $0.41 be taxed?

[stockanalyze]

i believe that it says in agreements that they cannot buy any shares but i may be wrong, look up in spsa.
the other thing to do would be to say all of fnma, fnmas, fnmat, fmckj, fmcc etc etc are all same and thus wash rule would kick in. many are harvesting tax losses. irs should care about it as it lost revenue and such a rule is in power of the powerful people. they are missing out on loot going on by large funds. lol.

[kthomp19]

If this Conservatorship / Bailout B.S. isn't overturned, we're all screwed, the Government then has a working model to seize any privately owned company.

Only FnF (and the FHLBs) are subject to HERA. It's HERA specifically that has frustrated all the court cases so far. Other companies are fine until and unless Congress passes a law allowing other companies to be put in conservatorship.

Who should really be afraid of this precedent is the TBTF banks. They have their own conservatorship language with respect to the FDIC, and FDIC as conservator has the same statutory authority to act in its own interests as FHFA does.

So this is why I keep buying, because failure to free Fannie and Freddie is not an option and I'm certain that this fight will be won.

Said another way: doing the right thing for the right reason and making a ton of money doing so.

Just beware of the Pyrrhic victory that a senior-to-common conversion would present.