
End the Conservatorship! Small common retail shareholder since 2016 #fanniegate $FNMA $FMCC
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Bill Ackman called on the Trump administration to release Fannie Mae and Freddie Mac from conservatorship, warning that a Democrat-controlled government could weaponize the entities against Republicans bloomberg.com/news/articles/…
RestoreTheGSEs retweeted
The Trump administration is fighting to make housing affordable again.
✅ Deporting illegals
✅ Slashing red tape
✅ Taking on Wall Street
American homes belong to American families, not corporations or illegal aliens.
RestoreTheGSEs retweeted
Some of the “buzz” about spreads blowing out here has been coming from camps that want endless govt control, and/or want mortgage rates higher than they should be.
It won’t be difficult at all to keep spreads tame and even reduce them as part of reform here.
Pershing Square CEO Bill Ackman reiterated his bullish stance on Fannie Mae and Freddie Mac, of which he is large shareholder in.
“These stocks will go up tenfold. and that’s you know, that’s the most asymmetric investment I’m aware of in the stock market,” Ackman told CNBC’s “Squawk on the Street” on Thursday. “These entities have fully rebuilt their capital. What’s not, I think, well understood is Fannie and Freddie today have five times the capital they had historically.”
Watch the full interview: cnb.cx/4BldcoT
RestoreTheGSEs retweeted
A good summary.
This is a fantastic interview with such great content. For anyone who didn't listen in the key points were:
1. It is imperative the release happens soon. These companies and their profits cannot become political weapons.
2. The current $FNMA and $FMCC valuations are absurd. The stocks are trading roughly where they were when the companies had essentially no capital and no retained earnings.
3. A practical pseudo guarantee can be locked in by converting the SPS into a paid backstop/LOC with a modest commitment fee. Couple that with the already fortress balance sheets and spreads will only get tighter.
4. Bill's simple plan remains the cleanest path: proper accounting for the amounts already repaid to Treasury + NYSE relisting. And critically, even if the midterms don’t break the administration’s way, this can still be executed entirely through executive action.
High 40s to $50 remains the base case on a straightforward process. Most asymmetric setup in the market. Appreciate Bill's continued advocacy.
RestoreTheGSEs retweeted
Replying to @BillAckman
@BillAckman on CNBC this morning, full transcript: (part 1)
Host: Speaking of disappointment in the short term, Fannie and Freddie have been a drag, and I know you’ve had high hopes that the Trump administration is going to finally make a move here to privatize. It’s taken longer than expected. I did get some comments from Secretary Bessent in a podcast this week saying, I think he said ’27 or ’28. They still want to go forward. “I would imagine next year or the year after we will be tackling the ownership structure.” Do you still have high conviction that this is going to happen? Are you still bullish?
Bill Ackman: Yes, very bullish. And actually, to point out, our relative underperformance this year in large part is driven by Fannie and Freddie. These are stocks that went from $3 to $15 or so last year and went from $15 to $3 this year. You know, they became fairly sizable positions. We own well north of 200 million shares combined of the companies. So this was a very big sort of headwind for us. Now, why did we hold it when the stock was up 5x? Because we again believe our view of what’s going to happen here.
Look, actually, what’s not talked about: it’s actually absolutely politically critical for Fannie and Freddie to be released from conservatorship before the end of the Trump administration. Why is that the case? Because this is an enormously cash-flow-generative asset that in the hands, for example, of a Democratic administration could be used in a manner that is politically very threatening to the Republican Party—the control of who gets access to mortgages. There were issues during the Biden administration where there were mortgages being granted to people on favorable terms because of skin color and other such initiatives. It’s a tool that can be used in a very political manner. So, having met with the administration about this topic, I think they view it as absolutely mission critical that they’re both released from conservatorship.
We’ve put forth a very straightforward plan that will get it done more efficiently. Actually, it’s really important that the stock is in the hands of institutional investors and is privatized to protect this from becoming a politically controlled asset. That is well understood at the highest levels of the Trump administration.
I think the administration toyed with some other alternative approaches to taking these companies public. There was an initiative, I understand, where Fannie and Freddie would be combined under a new holding company—I don’t know if you saw the tweet from the president about something called the Great American Mortgage Company—where Fannie and Freddie would stay in conservatorship and there would be this new holding company put on top. You know, it is not a viable structure. The simplest outcome here that creates the most value for the American taxpayer is just simply accounting for the $300 billion of payments that have been made by Fannie and Freddie to the Treasury, fully repaying the $191 billion that was advanced during the financial crisis, and then an uplisting to a major exchange like the New York Stock Exchange. And the president rings the bell, announces a major hundreds of billions of value creation for the American people, and then he tasks the Treasury Secretary and Director Pulte with resolving the conservatorship, which is a process of finalizing the capital rules.
LOWERING COSTS AND EXPANDING ACCESS TO HOMEOWNERSHIP: Today, President Donald J. Trump signed an Executive Order to lower the costs of single-family homeownership and mortgages and promote innovation throughout the housing market.
•The Order directs the Director of the Federal Housing Finance Agency (FHFA) to create a pilot program to cancel borrowers’ mortgage insurance premiums proactively once they have satisfied their equity requirements based on the current market value, which will eliminate a large monthly expense for qualifying Americans across the country.
•The Order establishes the Task Force on Manufactured Housing Innovation to increase the quality of and lower the cost of building a home by facilitating the use of modern manufacturing methods in the production of factory-built housing eligible for federal housing programs.
•The Order directs the FHFA Director to reduce homeowners’ refinancing costs by expanding the FHFA’s title insurance waiver pilot into a permanent program to allow more borrowers to utilize cost-friendly alternatives to title insurance and to reduce the closing costs of refinancing and monthly expenses associated with homeownership.
•The Order directs the Secretary of Agriculture and Secretary of Veterans Affairs to reduce interest rates on single-family home loans made by their respective Departments.
RESTORING THE AMERICAN DREAM OF HOMEOWNERSHIP: President Trump is removing unnecessary red tape and making homeownership more affordable for all Americans.
•Homeownership is a vital pillar of our great Nation, and President Trump and his Administration are working tirelessly to cut burdensome costs and red tape to make the American dream of homeownership more affordable for all Americans.
•Unnecessary regulations and outdated mortgage processes have made homeownership unaffordable and driven up closing costs.
I believe the same as Bessent!
"I would imagine that the next year, the year after, we will be tackling the ownership structure,” @SecScottBessent told the 2Way media platform.
nationalmortgagenews.com/new…
RestoreTheGSEs retweeted
$FNMA $FMCC
🔥🔥🔥
@BillAckman with epically bullish commentary on Fannie Mae & Freddie Mac this A.M.
All the bases were beautifully covered. Thank you once again for your tireless advocacy, Mr. Ackman!
No chance DJT leaves F2 up for grabs at the risk of a democratic administration potentially regaining control.
Shout out to @CaliRefugee1 for continually banging that drum!
Not if...but when.
Tick, tock.
GLTA.
RestoreTheGSEs retweeted
"I would imagine that the next year, the year after, we will be tackling the ownership structure,” @SecScottBessent told the 2Way media platform.
nationalmortgagenews.com/new…
RestoreTheGSEs retweeted
$FNMA $FMCC
God bless "Lloyd from New York" for pressing @SecScottBessent so directly this A.M. on the Fannie Mae & Freddie Mac saga & advocating for shareholders.
Lloyd, you're a legend!
Take some notes, legacy media.
Bessent & the administration are still focused on keeping mortgage spreads in check, so the holding pattern continues.
Not exactly the answer we wanted to hear from Scotty B. But the housing situation is fluid and nuanced.
IMHO, F2 remains to be a focal point for DJT as the groundwork continues to be laid for our path forward & eventual release.
Ever bullish.
GLTA.
Link attached.
youtube.com/live/a3tbSNWI__Q…
RestoreTheGSEs retweeted
“There's an open question of whether FHFA takes one last shot,” said Hamish Hume, partner at Boies Schiller Flexner LLP.
nationalmortgagenews.com/new…
RestoreTheGSEs retweeted
Vous avez vu hier nos villes, nos rues, notre pays, malmenés, maltraités, mis à sac.
Nous vivons une crise profonde de confiance, d’autorité qui fait peser une menace sur la démocratie. Le constat doit nous alerter : notre pays est pris en étau, voire en otage, entre la violence et l’impuissance.
























