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January 23, 2014

Treasury Official’s Comment on GSE Loss Reserves Might Give Ammo to Plaintiffs

By Paul Muolo

Speculators in Fannie Mae/Freddie Mac junior preferred shares will benefit if they can prove loan loss reserves at the two were over-stated.

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After the November elections, how long will it take for a new Congress and White House to pass GSE reform legislation?

I’m confident a bill will be passed the first year.


2 to 3 years. GSE reform is complicated.


Sadly it won’t happen in a Clinton or Trump first term.


Not in my lifetime.


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