Raines Explains Fannie’s Approach To Managing Interest Rate Risk
January 31, 2003
Fannie Mae has taken some criticism over the past few months for allowing its duration gap – one measure of the company’s interest rate risk – to bounce above management targets. But this week Fannie Chairman and CEO Franklin Raines addressed investor concerns by providing some new details on exactly how the government-sponsored enterprise manages the risk of holding a massive mortgage portfolio in a volatile