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https://www.insidemortgagefinance.com/imfnews/1_1385/daily/loandepot-resumes-showing-up-elsewhere-1000046558-1.html

 

By Paul Muolo

pmuolo@imfpubs.com

 

A day after the White House released language calling for an explicit federal guaranty on agency MBS in its “Delivering Government Solutions for the 21st Century” blueprint, the National Association of Realtors hosted a roundtable on GSE reform. Among the speakers at the Friday, June 22, forum was Compass Point director Isaac Boltansky, who rightly pointed out that sentiment in Washington regarding Fannie Mae and Freddie Mac has changed. Republicans and Democrats alike no longer want to obliterate the government-sponsored enterprises and instead can live with minor adjustments. “Effectively, we’ve gone from consideration of tearing down the whole house for a rebuild to the belief that we should just tweak the house’s plumbing and do some landscaping,” Boltansky said…

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https://www.insidemortgagefinance.com/imfnews/1_1385/daily/loandepot-resumes-showing-up-elsewhere-1000046558-1.html

 

By Paul Muolo

pmuolo@imfpubs.com

 

A day after the White House released language calling for an explicit federal guaranty on agency MBS in its “Delivering Government Solutions for the 21st Century” blueprint, the National Association of Realtors hosted a roundtable on GSE reform. Among the speakers at the Friday, June 22, forum was Compass Point director Isaac Boltansky, who rightly pointed out that sentiment in Washington regarding Fannie Mae and Freddie Mac has changed. Republicans and Democrats alike no longer want to obliterate the government-sponsored enterprises and instead can live with minor adjustments. “Effectively, we’ve gone from consideration of tearing down the whole house for a rebuild to the belief that we should just tweak the house’s plumbing and do some landscaping,” Boltansky said…

 

I am no fan of muolo as I don't think you can find a more paid-for flack in journalism.  but this was also what I found implicit in the govt release.  having said that, this kind of "fixing govt" initiative seems to me to be make-work for second tier administration officials and is not something that one can rely on as a mature policy statement.

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I agree on Muolo... he is essentially a megaphone for David Stevens.  I did find it interesting that Stevens, oops I mean Muolo, confirms that the GSE's won't be gone but rather minor fixes will be made.  The more news that comes out the more it sounds like Stevens is going to be satisfied with the gov't guarantee.

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I agree on Muolo... he is essentially a megaphone for David Stevens.  I did find it interesting that Stevens, oops I mean Muolo, confirms that the GSE's won't be gone but rather minor fixes will be made.  The more news that comes out the more it sounds like Stevens is going to be satisfied with the gov't guarantee.

 

Why does anyone give a rat's ass what David Stevens wants? I don't.

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I agree on Muolo... he is essentially a megaphone for David Stevens.  I did find it interesting that Stevens, oops I mean Muolo, confirms that the GSE's won't be gone but rather minor fixes will be made.  The more news that comes out the more it sounds like Stevens is going to be satisfied with the gov't guarantee.

 

Why does anyone give a rat's ass what David Stevens wants? I don't.

 

If our most vocal and potentially influential (Corker, Warner, Stevens, etc.) opposition is backing off/compromising in a way that is beneficial to prefs (and maybe common), I think that's noteworthy.

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I agree on Muolo... he is essentially a megaphone for David Stevens.  I did find it interesting that Stevens, oops I mean Muolo, confirms that the GSE's won't be gone but rather minor fixes will be made.  The more news that comes out the more it sounds like Stevens is going to be satisfied with the gov't guarantee.

 

Why does anyone give a rat's ass what David Stevens wants? I don't.

 

If our most vocal and potentially influential (Corker, Warner, Stevens, etc.) opposition is backing off/compromising in a way that is beneficial to prefs (and maybe common), I think that's noteworthy.

 

yes but satisfying him shouldn't matter to anyone.

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yes but satisfying him shouldn't matter to anyone.

 

I agree 100%.  With that said, if there is a plan out there that is beneficial to prefs and satisfies Stevens then that is a very, very good thing for the odds of prefs doing very well with whatever plan ends up being implemented.

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Who here is familiar with how the Citi bailout and reorganization went? I'm just now starting to read up on this, wondering if FnF's reorg will be even remotely similar. All I know so far is that the preferred shareholders were offered a generous ratio to convert to common, but I don't know yet how many actually did, and how the different options fared (convert vs not convert).

 

There were also privately placed versus publicly held preferred shares, that were evidently treated differently. The privately placed shares seem to have been convertible anyway, while the public ones weren't per the terms of the circular.

 

Citigroup capital structure realignment terms:

https://www.citigroup.com/citi/news/2009/090227a.pdf

 

Series AA preferred stock prospectus:

https://www.sec.gov/Archives/edgar/data/831001/000095012308000747/y46539be424b2.htm

 

Illustrative example:

https://www.citibank.com/citi/investor/data/p090227a.pdf

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"The GSEs will never hold enough capital, and no government agency will ever charge adequate fees, to cover a major crisis without additional taxpayer support."

 

Really... some people

 

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"The GSEs will never hold enough capital, and no government agency will ever charge adequate fees, to cover a major crisis without additional taxpayer support."

 

Really... some people

 

 

Yeah, that's garbage. Watt's capital recommendation would have been easily enough to withstand the 2008 crisis.

 

Not only that, if the $181B somehow isn't enough for the next crisis, the government could always do another NWS and recoup its money. Taxpayer money really isn't at risk when any losses can be covered thusly.

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Slides from FHFA conference call presentation today... https://www.dropbox.com/sh/mc5q0zj28ng6kv0/AAB0eX_JIQGo3WDqZqUHWsSYa?dl=0

 

so isn't it kinda weird that they just stopped this call 1/2 way thru?

 

That was the UFOs

 

that's one way to avoid Q&A

 

Transcript, video, slides, etc. posted here: https://www.fhfa.gov/Videos/Pages/Webinar-on-Enterprise-Capital-Proposed-Rule.aspx?utm_medium=email&utm_source=govdelivery

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Slides from FHFA conference call presentation today... https://www.dropbox.com/sh/mc5q0zj28ng6kv0/AAB0eX_JIQGo3WDqZqUHWsSYa?dl=0

 

so isn't it kinda weird that they just stopped this call 1/2 way thru?

 

That was the UFOs

 

that's one way to avoid Q&A

 

wait how did they have a Q&A if the presentation stopped??? They just kept going with questions from where?

oh see they didn't avoid Q&A they just wanted to control how the Q&A went... I see .. that's one way to do it!

 

I'm sure no one will notice.

 

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Good news if true. CFPB and FHFA are structured same way.

 

Kavanaugh Emerges as Key Contender for Trump Supreme Court Pick

 

"Kavanaugh, 53, a former White House lawyer for President George W. Bush confirmed in 2006 to the influential U.S. Court of Appeals in Washington, is on the list. He wrote the majority opinion for a three-judge panel that held the Consumer Financial Protection Bureau’s structure as an agency led by a single director was unconstitutional and that Trump could fire the director at will."

 

https://www.google.com/amp/s/www.bloomberg.com/amp/news/articles/2018-06-27/trump-says-search-for-kennedy-replacement-to-begin-immediately

 

 

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Thank you, Luke and Chris. I never paid too much attention to this lawsuit so thank you for helping me understand it better. Looks like there may be some meat. I still find it unimaginable that -after this long and after so many setbacks- someone will have the guts to nullify the nws (as a remedy). In the best Pavlov conditioning fashion, I am bracing for yet another disappointment.
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Ben Carson today...

 

https://financialservices.house.gov/calendar/eventsingle.aspx?EventID=403643

 

"GSE's play a big part in our economy.  We want to make sure we don't make a big change as to create a shock to the system."

 

Long vid, do you have a time stamp?

 

I don't.  I haven't even listened to it myself... 3.5 hours and all :-)  Got the quote from somebody that did listen to it.

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Doh!  Thanks. Fixed the original.

Thank you.
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https://www.cnbc.com/2018/06/07/senators-gardner-and-warren-release-bipartisan-marijuana-bill.html

 

How is it possible that marijuana gets so much love from politicians so fast, left and right -literally- and we, shareholders, continue to remain as invisible to the world as air? Seriously. Not one Senator is joining our fight. I know, the mj thing came about because of heavy grass roots push (which means being on the right side and acquiring those votes). Our community is small and weak, has no voice or is so tepid that's not worth listening to. We really are nobody's in the courts, in Congress, among people.

 

Chuck Shumer, Warren, etc. These bills are picking up sponsors faster than how my first ex-wife would roll her joints.

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It's because Americans don't care about Fannie and Freddie (nor do they know what functions they even perform). No one is telling their congressmen to resolve this issue, and its too heavy of a lift for Congress to address even if they tried (see previous failed attempts). Only ones who can address this is the admin themselves, which seems to be the direction we are trending towards.

 

 

https://www.cnbc.com/2018/06/07/senators-gardner-and-warren-release-bipartisan-marijuana-bill.html

 

How is it possible that marijuana gets so much love from politicians so fast, left and right -literally- and we, shareholders, continue to remain as invisible to the world as air? Seriously. Not one Senator is joining our fight. I know, the mj thing came about because of heavy grass roots push (which means being on the right side and acquiring those votes). Our community is small and weak, has no voice or is so tepid that's not worth listening to. We really are nobody's in the courts, in Congress, among people.

 

Chuck Shumer, Warren, etc. These bills are picking up sponsors faster than how my first ex-wife would roll her joints.

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Re Bhatti

 

Is there anything to Cayce's argument in the letter sent to the clerk regarding deficient pleadings?  I briefly looked at the amended complaint filed.  I didn't see anything about the appointment's clause.  I am not sure if the constitutional argument plead is sufficiently broad. 

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