Replies to post #29 on Fannie Mae Series E Preferred 5.10% (FNMFM)

[robigus]

Why would the price on this be so high and FNMFN is so much lower?


EDIT: Maybe because of this article,

http://www.thestreet.com/story/11876299/1/sell-fannie-and-freddie-common-buy-the-preferred.html?puc=yahoo&cm_ven=YAHOO

"Going back to our preferred stock examples, it's obvious that new investors can make quick gains if the shares go up, but what about the income? If the dividend were resumed on Fannie Mae's preferred series E shares, investors would receive annual income of $2.55 a share. That would be a pretty fat yield 36.48% for investors who went in Wednesday at $6.99 a share."