Items Tagged with 'FannieGate'

ARTICLES

  • Court of Appeals declares FHFA structure unconstitutional

    Majority opinion finds GSE regulator violates separation of powers
    For the third time in recent memory, a government agency borne out of the housing crisis has been declared unconstitutional by a federal court. The first two times it was the Consumer Financial Protection Bureau. But now, it’s the Federal Housing Finance Agency that has been found to be operating in violation of the Constitution.
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  • Fannie, Freddie stock plummets after court decision dents shareholders' prospects

    But still trading above pre-election totals
    Shares of Fannie Mae and Freddie Mac went into free fall on Tuesday after the U.S. Court of Appeals for the District of Columbia Circuit ruled that Fannie and Freddie shareholders cannot pursue many of their claims related to the so-called “Third Amendment sweep.” But despite the drop, both Fannie and Freddie are still trading above where they were prior to the election of President Donald Trump.
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  • Court rejects hedge funds claims in Fannie, Freddie profit sweep

    But all is not lost
    Fresh off handing down a significant ruling in the battle over the constitutionality of the Consumer Financial Protection Bureau, the U.S. Court of Appeals for the District of Columbia Circuit just dealt a sizable body blow to the investors who claimed that the government’s decision to sweep all the profits from Fannie Mae and Freddie Mac into the government’s coffers was not only unnecessary, but illegal as well.
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  • Trump Treasury pick Mnuchin opposes recap and release of Fannie Mae, Freddie Mac

    Previously said GSE conservatorship will end
    For the first three hours of the confirmation hearing of Steve Mnuchin, the Trump administration’s choice to lead the Department of the Treasury, nearly all of the housing-related discussion centered on the mortgage servicing and foreclosure practices of OneWest Bank, the bank that Mnuchin formerly chaired. But that changed when Sen. Mark Warner, D-Virginia, began questioning Mnuchin about Fannie Mae and Freddie Mac.
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  • Here's one Fannie Mae bull's take on how the GSEs can exit conservatorship

    And what happens to the stock after that
    In the weeks since Steve Mnuchin sent shockwaves through the housing industry by stating that the Trump administration planned to end the conservatorship of Fannie Mae and Freddie Mac, reactions varied on whether that can actually be done and how expensive it might be. Here's an interesting take from an interested party on how the GSEs might actually exit conservatorship and what that would mean to the GSE stockholders who've waited quite a few years for a resolution.
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  • Moody's: Privatizing Fannie Mae, Freddie Mac would cost "hundreds of billions"

    Report predicts disruption to secondary market
    Steve Mnuchin, President-elect Donald Trump’s choice to lead the Department of the Treasury, recently said that “getting Fannie and Freddie out of government ownership” is one of the Trump administration’s top 10 priorities. But just how realistic is that plan? According to a new report from Moody’s Investors Service, privatizing the GSEs is not only unlikely to happen any time soon, it’s also hugely cost-prohibitive, and it would be a negative for bond investors as well. Other than that, Mrs. Lincoln, how was the show?
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  • Trump Treasury pick: Fannie Mae and Freddie Mac will be privatized

    Steve Mnuchin tells Fox Business: "We’ll get it done reasonably fast"
    Making the media rounds after being selected to serve as Treasury secretary by President-elect Donald Trump, Steve Mnuchin dropped a bombshell about the future of Fannie Mae and Freddie Mac. Rather than be wound down, as some advocate for, Mnuchin said the government-sponsored enterprises will be taken out of “government ownership,” restructured, and privatized.
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  • Critics still unhappy with Fannie, Freddie conservatorship

    Future of GSEs still uncertain under a Trump administration
    The lack of attention given to housing during the presidential campaigns leaves many skeptical that the next administration has any plans for mortgage giants Fannie Mae and Freddie Mac. Some wonder if only another housing crisis will push the government to move the two GSEs into a more permanent structure.
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  • Feds appeal decision to release #FannieGate memos

    Claim that court made severe, irreversible error
    The government is now fighting back against the court’s decision that ordered them to release 56 documents to the public that could show that the Treasury took over Fannie Mae and Freddie Mac despite the secondary mortgage market firms being adequately capitalized. Now, however, the government claims the judge made that decision based on a misunderstanding of the principles that govern executive privilege.
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