Thursday, April 2, 2009

Fannie & Freddie Get Another $46 billion from Treasury

SEC filings revealed taxpayers gave Fannie Mae $15.2 billion and Freddie Mac $30.5 billion. Government preferred stock holdings in Fannie amount to $16.2 billion and $45.6 billion in Freddie. When can I sell and get my share?

Fannie also sold three year notes in the amount of $4 billion. Reuters reported:

Fund managers bought 65.4 percent of the issue, central banks took 20.3 percent and commercial banks purchased 4.3 percent of the notes.

If a money market fund manager purchased Fannie Mae notes, do they get a double Uncle Sam guarantee?