Handfuls of Fannie Mae (NASDAQOTH:FNMA) and Freddie Mac (NASDAQOTH:FMCC) shareholders have filed lawsuits against the U.S. government claiming the Treasury acted illegally when it amended the terms of the companies' deal with the government in 2012. A judge recently chose not to dismiss the case and allowed the proceedings to move forward. Is this the best possible option for shareholders to benefit while the operating companies remain under FHFA-run conservatorship?
In this segment of The Motley Fool's financials-focused show, Where the Money Is, banking analysts Matt Koppenheffer and David Hanson debate this notion and tell investors why waiting on the government to act could take years and the lawsuit may play out quicker.
While you're waiting on Fannie and Freddie...
They said it couldn't be done. But David Gardner has proved them wrong time, and time, and time again with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his carefully chosen six picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.
David Hanson has no position in any stocks mentioned. Matt Koppenheffer has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.