All those gov's plans regerding FnF to wind them down, reform, eliminate, etc' etc' - can't be made without the c-ship ?
after all FnF are GSE, the gov has a SAY even without being conservator.
let FnF free from c-ship and continue with your (hopeless) plans.
am i right ?
all the Feds have to do is release the GSE's from c-ship, then they have the right to wind them down, and thats what I think will happen.
Yes, that would be an incredibly dirty tactic, but it would be legal.
Finally, someone that gets it! No! Under the rules of conservatorship protection of the companies and their assets is paramount. They cannot be wound down or eliminated while in conservatorship...regardless of what certain politicians are saying. That's why this is a very good investment and, quite frankly, the pps could and should be higher. Patience will be rewarded.
Sentiment: Strong Buy
There are several lawsuits, which have now been combined, to block the winding down and take the GSEs out of conservatorship. The most important of these, in my opinion, are the challenges based on the Fifth Amendment "takings clause" (Google it). In essence, the argument is that the government had no right to take private property, meaning the equity in the GSEs, without paying the shareholders a fair price. If the Supreme Court decides the conservatorship, especially the 2012 amendments sweeping all profits into the Treasury, to be unconstitutional, then neither the President nor the Congress can prevent the GSEs from being returned to the shareholders.