For more than a decade, housing-finance giants Fannie Mae (FNMA) and Freddie Mac (FMCC) have remained in conservatorship after being bailed out amid the Great Recession.
Fannie and Freddie’s shareholders have been kept in limbo throughout those years — they’ve watched as the enterprises’ profits were swept to the Treasury Department to repay the federal government, and they’ve gone without a dividend in that time.
Glimmers of hope have emerged for Fannie and Freddie’s investors during the Trump administration. Last April, Vice President Mike Pence’s former chief economist, Mark Calabria, was confirmed as the director of the Federal Housing Finance Agency, the main regulator overseeing Fannie Mae and Freddie Mac. Since assuming that post, Calabria has worked to begin recapitalizing the two enterprises after