Wall Street Journal (03/14/08) P. C12; Currie, Anthony; Silva, Lauren
Financial columnists Anthony Currie and Laurel Silva believe Fannie Mae and Freddie Mac should both seek fresh equity. Having more capital, they argue, would enable the two government-sponsored enterprises to play a larger role in bringing greater stability to the U.S. housing market--instead of having to sell off assets to keep their balance sheets in order, as they did in 2007's second half. The Friedman, Billings, Ramsey Group believes each GSE should raise as much as $40 billion, doubling their capital and hopefully bringing in solid returns. Currie and Silva conclude that this course of action "would be better than sitting still and hoping the worst doesn't happen."
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment