Another article on the Fannie/Freddie situation. Merrill Lynch just sold their mortgage securities to a hedge fund for 22 cents on the dollar - yet Fannie and Freddie are carrying these same securities on their balance sheets at full value? What? A good point is made in this article - the management of these entities have nothing to lose (the government will bail out anything they do) and thus they are going for broke, its time that someone stepped in and started an orderly receivership for these "government sponsored enterprises".
Scott Dauenhauer, CFP, MSFP, AIF