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Home » Store » Taxable » Falcon Says GSEs Face Growing Pains In Managing Portfolio, Prepayment Risks

Falcon Says GSEs Face Growing Pains In Managing Portfolio, Prepayment Risks

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Fannie Mae and Freddie Mac may be challenged to effectively manage the risks associated with their massive and continuously growing portfolios of long-term assets, according to their chief regulator. The two companies currently have a total of $1.3 trillion in mortgage investments, seven times their holdings at the end of 1992. Since virtually all of their mortgages can be prepaid at any time without
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