Wes Traz

[Nico @nicosintichakis]

It is official the Fannie Mae / Freddie Mac shareholders lawsuit stands in original entirety. $FNMA #Fanniegate

No payout date announced.

[$FMCC $FNMA @imKarma69]

$FMCC $FNMA still trading on criminal OTC platform after 18 years of fake CONservatorship. @realDonaldTrump @pulte @SecScottBessent @WhiteHouse @POTUS

[Shawn Dunavant @DunavantSh58880]

Fannie Mane and Freddie Mac investors waiting for justice! $fnma $fmcc @pulte @MarkCalabria @realDonaldTrump @SecScottBessent

[José E Burgos Lugo, PA @TheBurgosGrp]

Fannie Mae, Freddie Mac Enter Bullish Phase $FNMA $FMCC
https://t.co/iBHTZHObQg

[Neo Sun Tzu @neo_tzu53185]

$fnma $fmcc ... Interesting article on recent F2 multifamily housing business ... I've included some excerpts here below ... click on the link to read the full article ... it's quite bullish on F2's business outlook.

Freddie Mac generated $14 billion in multifamily loans in first-quarter 2026, up 40 percent from first-quarter 2025 when the GSE originated $10 billion in loans.

Fannie Mae generated $17.1 billion in multifamily loans in the first quarter of 2026, up from $11.8 billion in first-quarter 2025.

Fannie Mae and Freddie Mac are scaling up their multifamily loan production this year while their partner servicers and underwriters are aggressively pursuing new business.

The Federal Housing Finance Agency (FHFA), which has been the conservator of the two government-sponsored enterprises (GSEs) since 2008, blew open the annual lending caps for the two agencies this year. The new caps are set at $88 billion apiece, which is a more than 20 percent increase from the 2025 cap and the highest dollar amount allotted by the FHFA since it established the volume caps starting with the 2015 calendar year.

@T_Castelluccio @arguealone @CapitalismWorld @nicosintichakis @revgalerivs @MIA95629998 @GuidoPerei @Fanniegate101 @darren_unruh @tqlemd @MillennialRisk @MampillyGuru @BrnovichMel @JonOksenholt

[Alec Mazo @Alec_Mazo]

Congratulations to @pulte on the appointment to serve as Acting Director of National Intelligence!
Maybe now you can have a look at the rot behind the Net Worth Sweep? These "items" covering up the intent to destroy the companies will certainly be available to you now.
Parrott and DeMarco orchestrated the steal after Fannie's CFO told them the "golden age of profitability" was coming. Three months later, the $100bn+ Deferred Tax Asset write-off reversal went from the GSEs' balance sheets into Obama's Obamacare disaster—while fake news reporters like Ackerman, Carney, and others cheered the nationalization.

Releasing those documents as President Trump pushes the IPO button would increase investor confidence that something like NWS will never happen again and the companies will be worth more as a result! @SecScottBessent

[Horseman Country @HorsemanCountry]

$FNMA $FMCC

Monday May Morning Mega M.O.A.B. Boom from @BillAckman! 🔥🔥🔥

"The most important thing that needs to be resolved for the existing shareholders of Fannie & Freddie is that the government has been repaid.

The government injected $191 billion into both companies. The government got repaid $301 billion...which is that preferred investment plus almost a 12% interest rate.

So the government got more than it was contractually owed."

Ackman's plan is the way. It will generate the most bang for the buck for all sides involved.

He has the ear of @realDonaldTrump.

God bless you, Mr. Ackman! Fannie Mae & Freddie Mac shareholders are grateful beyond words for the immeasurable blessing of your advocacy!

[Horseman Country @HorsemanCountry]

$FNMA $FMCC

The hits keep rollin'!

The official @FHFA page just posted (minutes ago) the segment from @realDonaldTrump's speech last night when he discussed Fannie Mae & Freddie Mac and the prospect of taking them public.

It's getting real, folks. Monday is looking good!

[Wes Traz @westrazart]

@SilentlySirs How can Australia be considered a Western country? Most of it is further East than China.

[Aakash Gupta @aakashgupta]

The math on Fannie and Freddie is so dislocated it looks like a pricing error.

Fannie printed $14.4 billion in net income last year. Freddie printed $10.7 billion. Combined market cap on the pink sheets right now: ~$12 billion. The market is pricing $25 billion in annual earnings at a 0.48x multiple. Find me another 0.48x earnings multiple anywhere in American finance. It doesn't exist.

The dilution fear is the reason the stock is cheap and the reason the stock is wrong. Treasury put in $187 billion. The GSEs have swept back over $300 billion since 2012. That's an 11.6% IRR. If Treasury exercises its 79.9% warrants at today's price, the government's stake is worth ~$9.6 billion. If it exercises post-relist at 10x earnings, that stake is worth $200 billion. The difference is $190 billion. Washington doesn't leave $190 billion on the table to spite penny stock holders.

Capital requirements look scary until you do the arithmetic. The ERCF says $334 billion. They have $179 billion. The FHFA can lower Tier 1 to 2.5% without Congress. New target: ~$190 billion. Gap: $11 billion. One IPO closes it. One year of retained earnings closes it twice.

G-fees are already at 65 bps. Pre-crisis they were 20. The GSEs have been charging privatized pricing inside a conservatorship for 14 years. Credit losses outside of 2008 average under 5 bps. The margin is so fat that mortgage rates don't move at all on release.

So what are you actually buying at $5? A royalty on the American mortgage system. 65 bps on $7.5 trillion in outstanding MBS. $48 billion in gross annual revenue. Under 5 bps in historical losses. The most predictable spread in finance, backstopped by a guarantee both parties have publicly committed to preserving.

JPMorgan trades at 13x and takes real credit risk. Utilities trade at 15x with half the visibility. These two trade at 0.48x collecting tolls on other people's risk.

The second those warrants convert and the NYSE listing goes live, every index fund and pension fund with a financial sector mandate has to buy. Two of the ten most profitable companies in America, sitting on the pink sheets, waiting for one signature.

[Bill Ackman @BillAckman]

A number of press reports have characterized our and other shareholders’ efforts on behalf of Fannie and Freddie (F2) as seeking a ‘gift’ or ‘handout’ from the government. We, the shareholders of F2, seek no such thing.

Hundreds of financial institutions were bailed out during the GFC by the U.S. Treasury. Nearly all of the financial institution bailouts during the GFC involved an injection of capital in the form of senior preferred stock by Treasury at an interest rate of 5%, plus warrants to acquire common stock in an amount equal to 15% of the face amount of the preferred with an exercise price at the then-current stock price of the rescued institution.

For example, Treasury’s preferred stock investment in Goldman Sachs was in an amount of $10 billion and, in addition, Treasury received warrants on $1.5 billion of GS' common stock at its then market price.

The bailout terms for F2 were materially more burdensome and expensive, with a higher interest rate and substantially more warrant coverage, than that of every other financial institution (other than those of AIG whose terms were similar). Despite the F2 bailouts’ massively more burdensome terms, shareholders are not complaining about the original terms.

Treasury invested $193 billion in F2 in the form of senior preferred stock (SPS), including funding for $2 billion of commitment fees, with a 10% coupon (twice that of the banks). Treasury also received warrants on 79.9% of both companies’ outstanding shares.

Fannie and Freddie have since repaid Treasury $301 billion, which includes interest on the SPS at a blended rate of 11.6%, an interest rate which is 160 basis points more per annum, and have returned the entire $193 billion of outstanding principal, $25 billion in excess of what was contractually owed. In summary, the F2 SPS has been fully repaid according to its original contractual terms plus an extra $25 billion.

Despite the fact that the SPS has been more than repaid in full, Fannie and Freddie have not accounted for these payments on their respective balance sheets, and the $193 billion of SPS remains an outstanding liability as if no principal payments had ever been made.

How can it be, you might ask, if indeed F2 have repaid $301 billion to Treasury when only $276 billion was due could there be any remaining balance of the SPS on the F2 balance sheets?

The answer relates to something called the ‘Net Worth Sweep (NWS).’

During the second term of the Obama administration, on August 12, 2012, two quarters after F2 returned to profitability, Treasury announced that it was unilaterally amending the terms of the SPS stock to provide that Treasury would take 100% of the profits of F2 each quarter in lieu of the 10% annual dividend rate. This was not a negotiated resolution with F2. It was a unilateral amendment of the original terms of the SPS that was done in bad faith.

The supposed rationale for the amended terms of the SPS was akin to the IRS garnishing the wages of someone who will never be able to pay the taxes that they owe. That is, the Treasury said F2 will never be able to pay the 10% coupon, let alone the SPS’ $193 billion principal balance, so it decided instead to ‘settle’ for 100% of F2’s profits forever.

In discovery, shareholders learned that the stated justification for the amendment was false. In mid 2012, the Obama administration had come to learn that both companies would soon be reversing tens of billions of reserves on their balance sheets as housing values had increased and the reserves taken during the GFC had been excessive. The NWS was instituted by Obama to forestall F2 from forever being able to recapitalize and be released from conservatorship. The NWS was not a ‘settlement’ for a lesser amount of future payments. It was the outright theft of the forever profits of both companies.

Never before or since has the government ‘swept’ 100% of the profits of any company, let alone a financial institution in conservatorship, a form of government intervention where the goal is rehabilitation of the institution, and where the hierarchy of corporate claims has always been respected.

The accounting for the NWS payments while it was in effect (until Secretary Mnuchin terminated the NWS in Trump’s first term) was also unusual. The NWS was treated by F2 as a quarterly adjustment to the dividend rate on the SPS such that the dividend amount owed was made equal to the after-tax profits of F2 for that quarter with no limitation.

In other words, regardless of the amount of profit F2 generated for the quarter – whether or not it was in excess of the original 10% annual dividend – the dividend payable under the NWS was made equal to the quarterly profit. The absurd terms of the NWS sweep therefore made it impossible for any partial or full repayment of the SPS to take place as every dollar paid to the Treasury on the amended terms of the SPS was considered a dividend payment, even if the amount was massively in excess of the original contractual SPS terms.

The absurdity of the NWS was made clear just two quarters after the NWS went into effect. Fannie Mae generated a profit of $59 billion in the first quarter of 2013, and the SPS dividend rate for that quarter was set at $59 billion so the entire amount was swept to the government, more than 10 times the contractual dividend rate.

I had the opportunity to discuss F2 and the NWS with Warren Buffett about a decade ago and he said that he “couldn’t believe what the government had done.”

In short, the shareholders of F2 are simply asking the government to respect the original and highly burdensome terms of the SPS. There is no dispute that Treasury has received more than the original 10% coupon and full repayment of principal of the SPS, that is, an extra $25 billion.

We and the millions of other shareholders of F2 are simply asking the administration to honor the original SPS terms and properly account for the $301 billion of payments, thereby eliminating the SPS liability from both companies’ balance sheets.

Shareholders have not asked for the extra $25 billion to be returned to the two companies. Treasury can decide whether to keep those funds or return them to the companies.

Accounting for the repayment of the SPS has other important implications. Namely, it is critically important that conservatorships respect the rule of law, in particular, the contractual terms of corporate instruments and the hierarchy of claims. Otherwise, no financial institution that gets into trouble will be able to raise rescue capital in the private markets.

Notably, the treatment of F2 in conservatorship explains why Silicon Valley Bank and other recent large bank failures since the GFC were unable to raise private capital and avoid government intervention or a forced sale to J.P. Morgan. If the government with the stroke of a pen during conservatorship can at a whim wipe out common and preferred shareholders, no one is going to step in to try to save a financial institution that gets into trouble, and only the top few banks will be possible rescuers of big banks that fail.

Furthermore, because of F2’s history, their reputation in the capital markets has been greatly damaged. F2 raised $22 billion of preferred stock in the year or so prior to conservatorship as the government pressed both companies to raise capital. Institutions were willing to invest billions of dollars of capital into both institutions before they failed because, based on all precedent conservatorships, the contractual terms of all financial instruments and the hierarchy of claims had been preserved. Unfortunately, in light of the precedent of the net worth sweep, no investor can be confident that they won’t be wiped out in a future conservatorship so none has been willing to take the risk.

Some have proposed that Treasury simply convert the SPS into junior preferred and common stock and massively dilute shareholders. Putting aside the potential legal challenges to this approach, the result will be that Treasury will at best own something approaching 95% of both companies rather than 79.9%.

While the government’s percentage ownership stake would be larger in the SPS conversion approach, the value of the government’s larger stake would be considerably lower as the companies would become un-investable. Who would invest in F2 alongside the government when they just wiped out the previous owners?

In the SPS conversion scenario, the government’s stake, at best, if it could be sold, would trade at a massively discounted valuation, well below the value of the government's stake if Treasury retained only its contracted for 79.9% stake and respected the original terms of the SPS. In other words, a slightly smaller ownership stake of much more highly valued companies would equate to considerably more value for Treasury and taxpayers.

In a public letter to Rand Paul after his first term in November of 2021, President Trump recognized that the net worth sweep was theft from the shareholders of Fannie and Freddie. He wrote:

“Another Obama/Biden scam in legal trouble was when they allowed the Federal Housing Finance Agency (FHFA) to steal the retirement savings of hardworking Americans who had invested in Fannie Mae and Freddie Mac…The idea that the government can steal money from its citizens is socialism and is a travesty brought to you by the Obama/Biden administration. My Administration was denied the time it needed to fix this problem because of the unconstitutional restriction on firing Mel Watt. It has to come to an end and courts must protect our citizens.”

I couldn’t have said it better than President Trump.

Now that you have the time, Mr. President, let’s Stop the Steal!

[Horseman Country @HorsemanCountry]

$FNMA $FMCC

@realDonaldTrump
@pulte @SecScottBessent
@howardlutnick

Gents, the frustration among Fannie Mae & Freddie Mac shareholders is real.

But we didn’t dream up this wonderland of expectations.

Our optimism was ignited & repeatedly fueled by your encouraging rhetoric.

[Wes Traz @westrazart]

@bennyjohnson He’s rebutting that email but not the one about planning a pandemic…?!?

[Nico @nicosintichakis]

Of all Fortune 500 companies, only two are publicly traded but not on the NYSE or NASDAQ they trade OTC instead.

SURPRISINGLY, these two hold the #1 & #3 positions for profit per employee across the entire Fortune Global 500 raking in over $2 millionper worker at the top spot and around $1.5 million at #3. Pure efficiency madness! Can you guess which ones?

Hint: They’re the massive mortgage giants everyone knows… ranking #25 and #36 on the Fortune 500

Yes, Fannie Mae and Freddie Mac $FNMA $FMCC still crushing revenue and profitability despite OTC trading and conservatorship since 2008.

It’s an absolute crime they’ve been stuck in government limbo this long and with no end of this travesty in sight 👀

@pulte @DirectorPulte @SecScottBessent @howardlutnick

[CaptBrian @BPflanzr]

Trump Commercial about Fannie and Freddie.

[Wes Traz @westrazart]

@theoliveranwar Even though I admit I’ve regularly done squats with a foam pad, the first (only) time I did burpees, my balls told me everything I needed to know about that exercise.

[Bill Ackman @BillAckman]

This was a good one. It remains our best idea for 2026.

[New York Post @nypost]

Unions call on President Trump to release Fannie Mae and Freddie Mac from government control https://t.co/gQIyJyG3dD

[G. Buckman @g_buckman]

🚨BREAKING🚨@POTUS @realDonaldTrump: Early in the new year, I will announce some of the most aggressive housing reform plans in American history.

There’s no doubt he’ll be using the two iconic American companies, Fannie Mae $FNMA & Freddie Mac $FMCC, as a HUGE part of his plans to reform housing so that US citizens can once again live the American🇺🇸Dream of Homeownership!
@SecScottBessent @howardlutnick @pulte @BillAckman @michaeljburry

[Wes Traz @westrazart]

I wouldn’t mind seeing a “verified IQ score” associated with posts that I’m seeing. @elonmusk