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  • Comment Detail

  • Date: 08/01/20
    First Name: Mark
    Last Name: Jones
    Organization: Potential Investor
    City: N/A
    State: N/A
    Attachment: N/A
    Number: RIN-2590-AB04

  • Comment

    1. FHFA must provide estimate of GSE profits in next 10 years.
    2. Capital requirement must be reasonable. Otherwise, GSEs cannot raise capital successfully.
    3. FHFA must admit its past serious mistakes in conservatorship and senior preferred share purchase agreement. These include: conflict of interests, discriminatory 10% dividend rate (compared to loans to large banks to 2%), ridiculous 79.9% warrant, grossly inflated on-paper credit loss, and Communist-style Net Worth Sweep.
    4. Settle lawsuits with all shareholders ASAP.
    5. The buffers in your proposal should be interest-free government loan to GSEs to support US economy in stressed times.
    6. $150B USD will be the largest number in stock investment history.

    Comparison to banks

    7. The banks with deposits at nearly zero rate. GSEs don’t.
    8. Housing affordability is in GSE mission. Not in the banks’.
    9. The banks have no counter-cyclical duty. GSEs do. Why is it shareholder’s burden? Who not government’s duty?
    10. The banks have flexibility to engage in other business. GSEs are mono-line insurance.