gatewayast

Fannie and Freddie: Finally a Light at the End of the Tunnel?

It is becoming clearer each day that pushing the preferred shareholders of both FNM & FRE (most of whom were banks not individual shareholders, except our clients) in front of the train had some unanticipated consequences including making the dire capital situation for quite a number of banks even worse and also making it virtually impossible for them to go back to the preferred stock capital markets well leaving many of them going down the stream rapidly without a paddle or even a life vest. Not a pretty picture!. Hence there may be some rethinking of the preferred issue, especially after the election.