Giant mortgage hybrids, still playing critical role, left in limbo by politicians
MinnPost - December 23, 2015 - December 26, 2015
By Dave Beal
President Obama, leaders of both parties in Congress, private sector influentials and various others have pledged to put Fannie and Freddie out of business. This has long been a goal of conservative intellectuals and politicians, convinced that the government should not be in the housing finance business. But while the two agencies’ numerous critics have come up with many proposals for how to replace these two entities, skeptics stress there is no assurance that any of these plans would work.
Tim Pagliara, an activist investor and the CEO of CapWealth Advisors in Nashville, founded a group called Investors Unite to advocate for Fannie and Freddie investors. Pagliara says the two entities are too important to be wound down. “It’s political theater to think they can shut them down,” he says. “That’s folly.”
Read the full article: Giant mortgage hybrids, still playing critical role, left in limbo by politicians