CSS, a joint venture of Fannie Mae and Freddie Mac, has been on something of a hiring spree of late. In 2020, at the direction of the Federal Housing Finance Agency, the company increased the size of the board by three members, the last two of which were picked early this year. In December, CSS also picked a new chief technology officer.
Overall, the FHLB profit picture was somewhat worse in the fourth quarter. Their combined net income fell to $657 million, down 20.4% from the third quarter...
The Federal Home Loan Banks ended the year with combined annual profits of $2.79 billion, down 12.5% from 2019. FHLBanks of Indianapolis, Chica-go and Topeka increased earnings from the third to fourth quarter. (Includes data chart.)
FHLBank members continued to reduce their borrowings, from $806.94 billion in the first quarter to just $422.64 billion in the last three months of the year. (Includes two data charts.)
KBW analysts believe it will take 15 years for the two government-sponsored enterprises to meet FHFA’s capital requirement to exit conservatorship. KBW reduced its target price on Fannie and Freddie stocks to $1.00 each.
Sen. Pat Toomey, R-PA, the ranking member of the Senate Banking Committee, this week indicated the GOP may be ready to compromise on key issues related to GSE reform.