- A few months late last year and early this year, investors have been dumping their portfolios of GSE equity securities because Mnuchin didn't take decisive action.
- The last 30 days seem to show a renewed focus and enthusiasm for Fannie and Freddie equities with buying starting to come back in.
- I believe that this all revolves around a pending Supreme Court ruling that is expected in the next 60 days.
- After reviewing napkin math behind valuing and recapitalizing the companies, I recommend owning their preferred stocks.
For further details see:
Fanniegate Supreme Court Summer 2021