Wise Man
16 hours ago
The Equity holders expect penalties🆚crooked plaintiffs and media celebrities that have written against our economic interests in formal documents, not simple opinions "free speech", but part of an elaborate scheme to defraud us to the tune of a $500B scam, like Pagliara (book) and Bill Ackman (GSE slides and Pershing ducumentation) and being a holder of a 10% stake in FnF is an aggravating circumstance because people pay closer attention, for instance, when he praises a Balance Sheet ("Fortress balance sheets") with negative Book Value and adjusted $-216B Accumulated Deficit Retained Earnings accounts, an account meant for absorbing the future losses and where dividends are de facto distributed from. Also "Privatization": Sales of Cs from the Warrant and after the conversion SPS to Cs. Let alone the "FnF build capital through retained earnings", buying the Financial Statement fraud in FnF that don't post the gifted SPS LP and its offset on the Balance Sheets, at the same time they post $0 EPS. The E in EPS is the Earnings that he claims is being later retained by FnF, $0.
Basically, the same outlined in the Moelis Plan and the Trump Letter of 2021.
All of them had an obsession to make FnF pay a 10% dividend rate in order to deplete their capital, disregarding the UST backup of FnF at rates similar to Treasuries as part of the Charter dynamics, and concealment of the FHFA-C's STATUTORY MISSION that I was talking about in my prior post, as we see here with the hedge fund manager Gary Hindes, who removed it in an amended complaint:
The key: Up to three times is written in the law and pieces of regulation, that the capital distributions are restricted, and the plaintiffs jointly with their ally, the DOJ, have covered them up in court:
ONE. Amendment of the FHEFSSA in HERA. U. S. Code §4614(e).
TWO. July 20, 2011 CFR 1237.12, "the supplemental". A follow-on plan.
AND THREE Dodd-Frank law for nonbank institutions, section 166(c). U.S. Code §5366. Stress Test. It emphasizes that there must be implemented a Capital Restoration Plan: 16 years retaining earnings, carried out secretly thanks to the FHFA-C's Incidental Power: "... in the best interests of FHFA".
MACARENA! AAAAAY! 🎶
TightCoil
20 hours ago
I don't think Treasury, nor the FHFA cares about what they're supposed to do, what they should do, and don't care about the 1994 GAO report, or any Dodd-Frank laws; they don't care about any Rule of Law, they don't care what WE think, what I think, or what YOU think, and side with Mel Watt's stance that, "I Don't lay awake at night worrying about {Fannie and Freddie} Shareholders" They are Schemers, Scammers and OUTLAWS - the purpose of imposing the Conservatorship was done for One Reason, and One Reason Only: to prevent Shareholders from filing a derivative suit that would have resulted in a number of Fannie and Freddie Board Members, and Officers going to JAIL.. In this, they have succeeded.
Wise Man
22 hours ago
The FHFA's mission includes to ensure the maintenance of adequate capital under the FHEFSSA, which establishes an Adequately Capitalized threshold of Total Capital > Risk-Based Capital requirement.
That's a FHFA as regulator, but now it's a conservator with a mandate to put FnF in a sound and solvent condition, referred to the financial condition as seen on the Balance Sheets and measured with the capital ratios as well, not with: "I think that they are rehabbed". We use capital ratios to that end and where the Net Worth is NOT a valid capital metric under the FHEFSSA, regardless of being called "capital reserve" in the SPSPA.
The Capital Rule effective February 16, 2021, builds on the FHEFSSA with an express authority to change the weights and add new capital metrics inserted by HERA in 2008.
However, the Critical Capital level is missing in the ERCF table. This is because the Core Capital that has to meet this threshold is deep in the red (stuck at an adjusted $-194B core capital in FnF combined every quarter).
Mnuchin wants to repeal these definitions of capital in the law that bother them for the assault on the ownership by Wall Street and the Community Banks, jointly with the DOJ representing the UST.
The FSOC (Supreme Regulator) should bar FnF from publishing their annual Stress Test required in the Dodd-Frank law, until the FHFA and the UST come clean about their capital available, primarily because it requires Prompt Corrective Actions like HERA (REMEDIATION REQUIREMENTS) in its amendment of the FHEFSSA. A FSOC presided over by the Treasury secretary, so don't expect anything. When the regulatory agencies oversee themselves, there is a problem. It ends up covering up each others' flaws.
It's the Treasury Department of 2011 the one that specified an end point for the conservatorships of a Privatized Housing Finance System: Treasury recommends guarantee fee increases, FnF subject to the same capital standards as the U.S. banks.
Mnuchin and Calabria specified the end point even more, with an overblown CET1 (JPS, not included) > 3% of Total Assets in January 14, 2021, at a time when the ERCF was approved and about to be effective 2 months later, February 16, 2021, that states that FnF no longer use the Total Assets but the Adjusted Total Assets. Calabria was thinking of the prior FHEFSSA mandatory release that he struck with HERA, with Core Capital (JPS, included) > 2.5% of Total Assets (Capital Classification of Undercapitalized enterprises).
The reality is that under a Common Equity Sweep ship, they thought that this threshold of CET1 > 2.5% of TA could be achieved with a swap of JPS (held by Wall Street and the Community banks) and SPS (held by the DOJ) for common stocks, plus stock offerings on a great scale addressed to their hedge fund mangers that nowadays are lying in wait.
But under the Rule of Law, what is happening is a Separate Account plan that is restoring capital from the onset, at the same time the SPS were repaid in early conservatorship, that, as of June 30, 2024 renders a capital level of CET1 = 3% of Adjusted Total Assets, ideal for the redemption of the JPS and then, meet roughly 100% of their Prescribed Capital Buffers.
This is part of a longstanding government policy of Privatization of FnF, that is, repeal the Charter Act, as required in the FHEFSSA of 1992 with a study of two years. The Treasury of 2011 simply implemented it in its Report to Congress, as an end point for the conservatorships.
The 1994 GAO report pursuant to this 2-year study for the Privatization of FnF, highlights the UST backup of FnF at rates similar to Treasuries, as the reason why they get funds on the market a few basis points above the Treasury yields. That is, the Charter dynamics.
This end point was a mandate in the Dodd-Frank law, that doesn't state "the end point must be reviewed from time to time", just because the investment banks and hedge funds have found a line of business coming from the enterprises that secures them good deals.
Mnuchin said that there is no end point specified.
navycmdr
1 day ago
$Booom ! - CNBC - Mortgage refinancing surges 35% in one week,
as interest rates hit lowest level in over a year
https://www.cnbc.com/2024/08/14/mortgage-refinancing-surges-35percent-in-one-week-as-interest-rates-hit-lowest-level-in-over-a-year.html?__source=iosappshare%7Ccom.apple.UIKit.activity.CopyToPasteboard
FHFA to Hold 1st Meeting of Advisory Committee on Affordable, Equitable, & Sustainable Housing -08/14/24
Wash, D.C. – FHFA 1st meeting of the ACAESH in person Sept 10-11, 2024, at FHFA’s headquarters in Wash, D.C., with video and audio coverage available.https://t.co/xhKKCJF2Bq pic.twitter.com/0gtWO0X5TA— Cmdr Ron Luhmann (@usnavycmdr) August 14, 2024
FHFA to Hold First Meeting of Advisory Committee on Affordable, Equitable, and Sustainable Housing
Immediate Release - 08/14/2024
Washington, D.C. – Today, the Federal Housing Finance Agency (FHFA) announced the first meeting of the Advisory Committee on Affordable, Equitable, and Sustainable Housing (ACAESH). The ACAESH meeting will be held in person September 10-11, 2024, at FHFA’s headquarters in Washington, D.C., with video and audio coverage available.
“The Committee’s wide-ranging expertise will help FHFA continue to fulfill its mission,” said Director Sandra L. Thompson. “This Committee is an additional example of how FHFA’s ongoing dialogue with stakeholders and the public guides the development of thoughtful and balanced policymaking that promotes access to mortgage credit and affordable rental housing in a safe and sound manner.”
Members of the public interested in watching the ACAESH meeting can attend in person or virtually. The meeting agenda and registration information will be available at https://www.fhfa.gov/programs/acaesh. In-person attendance will be limited. Full details on the meeting can be found in the Federal Register notice.
To submit questions and comments to the Committee, email ACAESH@fhfa.gov. Questions and comments must be submitted no later than 15 calendar days before the public meeting for the Committee to consider including them in the discussion.
The Committee is advisory in nature. Members serve a term of two years. Today, FHFA also renewed the Committee’s charter in accordance with the provisions of the Federal Advisory Committee Act, as amended, 5 U.S.C. § 1001 et seq.