Fannie Mae launched a new product onto the secondary markets Wednesday. The shorter duration issue of three-year benchmark notes are being consumed by money mangers desperate for liquidity. In a quick note to clients, FTN Financial said the notes sold in their entirety, primarily to a domestic base, populated entirely by money managers. "The deal was attractively priced, but the bigger story is there's simply not that much product availability to compete with Treasurys and the occasional ultra-high grade bullet," said analyst Jim Vogel in the email. "The spigots are turned to off." "Finding a place to earn something is the driving motivator for now," he added. The offer will settle on July 18 and the bonds will mature Aug. 28, 2014. BNP Paribas Securities, Deutsche Bank Securities (DB) and Goldman Sachs (GS) are the joint lead managers. Co-managers include Citigroup Global Markets, FTN Financial Capital Markets, Loop Capital Markets, JPMorgan & Co. (JPM), and M.R. Beal & Co. Write to Jacob Gaffney. Follow him on Twitter @jacobgaffney.