Fannie Mae (QB) (FNMA) News

a "different distribution of wealth"? Wow. Just wow. here's my plan:
Work harder
Spend Less
Don't live beyond your means
vote accordingly
PS: If "work-life balance" is tops on your list for jobs or careers, go back to the drawing board.

yet some form of an unrealized gain tax unconstitutional ?
There's a few issues - such as the definition of "income" as it relates to the 16th Amendment. Unrealized is not yet "income" earned by the taxpayer. The second issue is double-taxation. If the Corporation is paying tax when it's earned, the increase in corporate/shareholder value is post-tax. There are exceptions where the Corporation is not taxed and it's passed through directly to each shareholder. But it shouldn't be both.

I'd also be curious about what the plan is for Unrealized Losses. How does that fit into the tax code? For every person gaining, someone else is likely losing. If govt taxes me, oh say 28% on my unrealized FNMA gain, will they give me a tax credit of 28% on my unrealized FNMA loss? I think that will encourage more risk taking in the market. Gains are tempered, losses are tempered, may as well go hog-wild...

The biggest scam perpetrated on Seniors (like me) and our retirement systems is the "temporary conservatorship" of @FannieMae & @FreddieMac by @FHFA to swindle their equity for pet projects not funded by Congress.

FREE FANNIE!
FREE FREDDIE! https://t.co/NAh5NIdFuc— Guido da Costa Pereira (@GuidoPerei) September 12, 2024

we need a healthy economy - growing --- so moving to socialism (Bernie and What is her name) can kill growth

but

we need a different distribution of the wealth produced by our strong economy - as such distribution has gone to 5% for 30-40 years

such inequality one way or another leads to the end of democracy

yes - I believe in free markets - capitalism but an elected government that fixes the massive problems for 95% that come with pure capitalism

could be

if the current system - capitalism with GOV regulation and safety nets (public education - state colleges - Medicaid - Head Start - Food Stamps - ACA (still private !!) -- etc. etc. - continues to allow a bigger and bigger gap between say 5% and all the rest

We can wither work hard on TAX POLICY and regulation (TRUST BUSTING to start)
We can think a dictator can solve it
We can --- seriously - blow it up with a Sanders approach or extreme right wing (Bannon) approach - and try to pick up the pieces and start again and still have a democracy

but the PRICE has to be paid for 30-40 years of letting things get worse and worse for the middle

for one who started with a 13% (or higher) mortgage - these are not record breaking raises --- look at the Volcker - it happened when the FED waited too long

and we do not need congress to know why inflation spiked

9T unfunded added debt by DJT
8T unfunded added debt by JOE

on top of a massive decline in the economy - jobs and everything - due to pandemic - (i.e. it was not DJT that caused the horrible and worse last year of his term - world wide epidemic that was real and killing people and jobs and business )
That decline was fought with CASH - stimulation of the economy -- big time by both DJT and JOE - and IMO necessary to not have a DEPRESSION
So -- 9+8+ debt increase + plus the logical and then expected snapback from the horrors of 2019-2020 leads to inflation. NO POTUS caused it and NO POTUS could with their actions fix it. FED came in with classic beat up the economy to hurt jobs interest rate increases "to cool it down --- and as CPI inflation moved from 9% to 2.6% it worked (if maybe too gradual) (Summary - I have problems with DJT and JOE and prefer JOE but the role of the POTUS on the inflation jump and current inflation is over blown and their role in containment is de minimis)

could be
pros and cons for sure
(a tax incents premature sale ? (shorter holding periods?) )
(a tax levels the field between deferred gains and annual wages that hit 95% of workers whose investments are homes and 401K )

maybe - the compromise (both sides HATE but can live with) --- a new set of rules on deferral

deferral right now allows AVOIDANCE - in Real Estate in massive ways (that RR tried to stop and Congress beat him up due to being paid off IMO) - and then for amounts up to the ESTATE tax - allows gains of say 10Million by mom and dad to be deferred and NEVER taxed at all - which seems unfair to those who work and pay each year on wages)

So - maybe - if the GAIN that is deferred (sometimes with skip generation trust antics) is ESTATE taxed ---- then no unrealized gain tax for first holder - investor ?

the CON to leaving things alone is tax deferral leads in tons and more --- and more - cases to tax avoidance available only to say 3% or 4% of the population -- that AVOIDANCE by the elite is wrong (and count me in the elite on say 500K outside my IRA that is say 250K of gain that will never ever be taxed -- deferral leads to avoidance)

I thought FMCC - at some point (maybe imaginary) gets a pay out that FNMA does not get

I would think FMCC pps should reflect that dime or so ? say 5 cents expected present value

??

The keys to long term control are actually quite simple. Current policy and legislation fly in the face of what's needed to sustain a healthy economy.

Sometimes you seem rational, but at the end of the day you're just running interference.

Agreed on a cut. Food for thought though, since our lawmakers love to examine the "root cause" (the latest buzz phrase), I suggest addressing the policies responsible for the record breaking rate hikes that began in 2023. A modest cut for optics is just that, too little too late.

The term “unrealized” will hopefully be its downfall.

If Unrealized Capital Gains is ever attempted to be part of US Tax codes, the SCOTUS will probably see it in their schedule of cases soon after. Should be an interesting case.

?

lower interest rates - going forward on new paper - raises the value of exiting similar paper ??

(as it impacts housing prices - ownership and rental)

it is possible that productivity gains (the one key to long long long term control on inflation in a fiat currency economy) - are no longer large enough to hold inflation down to 2% ................. the costs of production - transportation - sales may simply grow faster than 2% ---- and the market is the market

again - my training and reading takes things - that impact F and F and markets and prices - back to productivity gains and TAX POLICY

that - the middle and low end being crushed - is not a recent issue --- it is has been growing as a failure of the economy as currently constructed and operating for 30-40 years

the disagreement is on how to fix it and even if it can be fixed short of blowing it up

?
climate change - hoax or not is factored into long term bond interest rates in the general bond market
climate change - hoax or not is factored into fossil fuel bond ratings
climate change - hoax or not is a massive influence on prices of property on all types of near the ocean property
climate change - hoax or not is a big reason for exploding insurance rates on homes in select locations

if you accept that the market is the market and it should be looking "outward with information" --- then why would FHFA not need to look out 30 years at lots of stuff that can impact the value of the houses it holds mortgages on ---- e.g. this type of logic (reality of potential problems) is why we have SEPARATE flood insurance and the private home insurance INDUSTRY pulled out insuring such events years ago -- especially in key locations after flood zones were mapped out

interesting

if you know or can link (to something short)

why is an income tax constitutional
why is a distinct capital gains tax constitutional
why is an estate (transfer on death) tax constitutional (regardless of if 400K or 13Million)

yet some form of an unrealized gain tax unconstitutional ?

simply seems odd and out of place to me -- in the broad construct that all types of taxes and fees by FEDERAL GOV have been found constitutional

IMO
IMO
Two separate items

Market thinks DJT more likely or even likely to "help us " - us being equity
So until election - DJT looking good is good for PPS

Second item
Who as POTUS or Treasury Secretary will actually help us - us being equity
No person knows !!
(and I bet not even DJT or Kamal know or care right now)

FLASH - Freddie Green by 1.45 cents
and she's not even outta the gate
Go Freddie Mac and Don't Look Back
And Fannie Green by 1 cent with no volume
Greeen Masheeens

FNMA/FMCC

Open dem market doors -
My people want to Buy all the commons
they can put their hands on

4.5 cent spread now between the Twins.

I don’t think it will. Inflation is still high. You may change the definition to suit a narrative but it won’t change the effect. This cut is to pop the mark before the MOARP.
Mother Of All Rug Pulls.

Concur, More Green, Go Green Machines

I object. I want more.

FNMA/FMCC
I see 7 cents to the GREEEN for Fannie tomorrow
5 cents for Freddie
Any Objections?

Great minds think alike.

The shenanigans last night ended up being cost neutral, we can expect a little recovery tomorrow. The media seems to be biting the hand that feeds them.

FNMA/FMCC
I see 7 cents to the GREEEN for Fannie tomorrow
5 cents for Freddie
Any Objections?

https://www.thestreet.com/investing/stocks/cpi-inflation-report-pumps-the-brakes-on-big-fed-rate-cut-bets

I noticed that,. too
The Circle of Corruption
has no time for Honesty
or Ethics

During first trial and second trial, defendants expressed a quote saying " we are maximizing value for shareholders"
Many times !

In the grand scheme of GSE mgmt getting the word out, I find it odd that ALdomovar was the one, twice this year, that mentioned the GSEs having enough capital and being ready for release...why didn't this news primarily come from ST and what was her intention to let Aldomovar do it a 2nd time...too busy?
FNMA

We shareholders just cannot get a break. Still believe that a big upward move is coming soon.

It's so they can use it for there pet projects and spend Fannies & Freddie's money rather than build capital and release.

They need to give more of our money away for immigrant housing or golf courses or walls. No need to hold on to it for us while in conservatorship.

Cutting interest rates will benefit all of us
I like it too

The upcoming cut that I suspect will be small, but it's mainly for optics. The housing market (except for increased inventory) is in largely the same place it was a year ago, as is the overall economy. The Fed will do this out of a notion of self-preservation by giving a pedestal for further cries of how well our economy is doing that was able to warrant this cut.

GSE's no mention for past 3.5 years.

still in prison and left for dead.

if you still don't know what to do soon.

LMAO

Debt= $35 trillion

Equity from secondary mortgage market is worth about $32 trillion .
We already knew that government owned a huge equity in secondary mortgage market, because government has been buying MBS all the time.


Question

Do you think that government will be willing to lose all equity worth of $32 trillion by cutting the interest rates?

How many times does federal reserve mention cutting interest rates?
More than 10 times.

Crappy day.

Because idiots can’t resist joining cults!

Leadership.
Or lack thereof.

well, we do have 6.7 mill in volume.......

Should start on Wednesday, especially if people pass on the Word Salad.

I added more fnma shares to my holdings today.
GLTA
BOOM

Wouldn't compare the two!! Unskilled might tho!!

"best I understand one should not conflate prices and RELATIVE to prior year prices with inflation"

Tell that to those who can't afford everyday goods.
"No ma'am/sir, you don't understand...even though it's gone up each the past three years over years, it didn't go up AS MUCH this year over last, so inflation is tamed!" Just ridiculous word salad to insinuate you can't compare the two.
PS 2% is "acceptable"...nothing more.

Ha!
For all of you It's Always Sunny In Philly fans out there..."I'm cultivating mass!"

Why does FHFA pretend to-be-involved-in-the-climate-change-hoax

This is another reason to eliminate FHFA as soon as possible.

They are constantly getting involved in something they have nothing to do with.

I’m sure this post will be deleted. It’s boarder line off topic. But if we ever do get any large increase in share price, this tax policy could affect your decision or need to sell the stock.

Recent case didn’t fully answer the question…

https://www.taxnotes.com/featured-news/details-sought-harriss-plan-tax-unrealized-capital-gains/2024/09/06/7l604

“There’s a serious open question over whether such a tax violates the realization principle and could potentially be struck down by the Supreme Court,” Lautz said.
The Supreme Court’s recent landmark decision in Moore v. United States didn’t put to rest all the questions surrounding the constitutionality of a wealth tax, Lautz continued. “Even though that case was narrowly about a tax on U.S. business income earned abroad, some of the motivation for the litigants in that case was to get the Supreme Court to essentially issue a preemptive strike on any kind of wealth tax, which they did not,” he said.
However, Lautz pointed out that four of the justices in concurrence with the ruling suggested they would be inclined to call a wealth tax unconstitutional.”

You nailed it.