Replies to post #757843 on Fannie Mae-No Politics (FNMA)

[ron_66271]

Key Point by Investopedia

• Financial guarantors, who promise to reimburse investors for any losses on the CDO tranches in exchange for premium payments.

Most of if not all Prospectus of ABS/RMBS are required to be insured.

Hence; the losses are covered.
Insured Bonds.


Ron