FNMFO - The Big Bang - Restructuring Fannie And Freddie To Raise Capital
- FHFA released their 2020 performance and accountability report where they talk about finalizing the capital rule early FY 2021 which has already started for FHFA.
- Once the capital rule is finalized, it is impossible for Fannie, Freddie, Morgan Stanley and JPMorgan to work on their capital restoration plans until their equity is restructured.
- Treasury's Steven Mnuchin will be needed to restructure the equity of Fannie and Freddie so that they can raise capital and eventually exit conservatorship.
For further details see:
The Big Bang - Restructuring Fannie And Freddie To Raise Capital