Fannie Mae & Freddie Mac - Your Ticket to Fortune (and possibly Fame)

[CHOPTALK]

This shit could explode if it gets relisted

 

[CHOPTALK]

Over 70% of all potential money to invest in stocks is off limits to OTC companies.
Omce this thing gets listed it opens the gates for more money

 

[kuwlness]

Richard Epstein's latest -- Fairholme's Big Win on Discovery:


http://www.forbes.com/sites/richardepstein/2017/02/06/fairholmes-big-win-on-discovery/#7cdedc2171bf

 

[kuwlness]

It sure seems to be getting better with each passing day. "Chuck Cooper emerges as Trump’s likely choice for solicitor general" ... in case you didn't know, Cooper is the Lead Attorney for Fairholme's case against the Government. LOL! I can't make this stuff up. Everything has come together so much better than even I imagined.

https://www.yahoo.com/news/chuck-co...y-choice-for-solicitor-general-132121716.html


Some background on Cooper: https://www.youtube.com/watch?v=itzoDg3s5GI

 

[Steiner69eR]

FNMFN down from $17 to $11 today. Why? Looks like a nice entry point.

 

[kuwlness]

FNMFN down from $17 to $11 today. Why? Looks like a nice entry point.

I think your broker is giving you a mis-quote. It hasn't gone under $18. Currently, it's $18.60 x $18.68

I think anything under $20 for FNMFN or FMCCT is still a ridiculous steal. I expect these to trade at a 5% premium to Par ($50).

 

[kuwlness]

FYI - Mnuchin nomination vote is on Monday, 2/13, at ~7pm EST. This morning's cloture results were 51-48. Looks to be a lock. Not sure how much is already priced in, but I don't expect many pull-backs once he's in.

 

[kuwlness]

Mnuchin is in -- http://www.housingwire.com/articles...in-as-treasury-secretary#.WKJvu5yBPwc.twitter

 

[kuwlness]

ICYMI -- Vice President Mike Pence is bringing in the Cato Institute's Mark Calabria as his chief economist. See Calabria's stance on what the Government did to Fannie & Freddie here: https://www.cato.org/multimedia/med...fannie-mae-freddie-mac-fbns-countdown-closing

 

[TheFalls]

this is not bad business for the govt i.e...Freddie Mac:

In all, after the quarter’s dividend (~4 billion), the company will have sent $105.9 billion to the Treasury, compared with the $71.3 billion infusion it has received.

 

[kuwlness]

Freddie is re-instating FAS 133 accounting. This was a huge revelation from Freddie's 10K today. FHFA had to remove FAS 133 accounting so they could write-down all of the GSE's assets to next to nothing.

The reinstatement of FAS 133 evidences that the GSE's are no longer operating to maximize enrichment of the Treasury. Now, with FAS 133 back on the table, we can assume the companies will once again be allowed to retain capital and will start to work towards doing so by marking their assets value accordingly. It also means there are no more derivative gains/losses.

They also added the word "Scheduled" to their treasury dividend obligation. This verbiage has never been there before and may signal a change of direction. We may finally be done with the NWS!!

 

[TheFalls]

the spread on these are a joke! FNMFM = 17.15/18.45

 

[kuwlness]

the spread on these are a joke! FNMFM = 17.15/18.45

Some have a low amount of shares outstanding and/or are tightly held by some of the plaintiffs involved in the legal cases. I would recommend FMCKJ or FNMAS if you're looking for pure liquidity. I believe liquidity will return significantly as the tide shifts more and more. FNMFN is usually less than a .20 spread, FNMFM doesnt have many shares outstanding and usually has a big spread.

 

[kuwlness]

House members' letter to Mel Watt about Blackstone -- https://www.scribd.com/document/339615295/House-members-letter-to-Mel-Watt-about-Blackstone-deal

 

[kuwlness]

ICBA is also getting involved -- http://www.icba.org/news-events/latest-news/2017/02/17/icba-let-fannie-freddie-build-capital

 

[thecentaur]

Pump and dump?

 

[thecentaur]

Did you dump it all yet kuwlness?

 

[TheFalls]

lol!

 

[TheFalls]

smashed!

 

[TheFalls]

now time to buy?