Good question that every decent investor is asking these days...
I belive your macro mild inflation scenario, which seems seems neutral/negative to FFH cuurent holdings.
I believe their equities give "us" some protection as dues their relatively short duration debt, yet clearly they have bought into a more bearish economic scenario than seems to be today's probable outcome.
My 2 cents is that FFH is a hold/buy for the portion of your capital to have for a more defencive outcome, very possible over a one or three year time frame. As stated wisely by many we need some inflation exposure yet that is popular and fairly expensive now. FFH is for defense at a resonable price based on how they are thinking. Also fine regadless of the outcome from a longer term perspective.
thanks to all for their efforts here.