With the GSEs’ capital reserve expected to hit zero by 2018, and in the wake of Freddie Mac’s third quarter earnings loss, industry leaders and observers have shifted their attention to addressing the possibility of a future draw from Treasury. Freddie posted a $475 million loss in the third quarter after marking down its investment in derivatives by $4.17 billion. This is the first time in four years that the GSE had a quarterly loss. Donald Layton, Freddie’s CEO, said in an earnings call that this loss represented 28 percent of the allowed capital reserve of $1.8 billion, so there’s no draw requested from the U.S. Treasury, but that didn’t stop speculation on what happens in the event of future losses.