Investors in common shares of the mortgage giants Fannie Mae (NASDAQOTCBB:FNMA) and Freddie Mac (NASDAQOTCBB:FMCC) have been betting on the idea that the two agencies may one day leave government conservatorship and be private entities again. While the profits could be huge if it happens, the fate of these two agencies is far from certain.
Now that the agencies have finally reached profitability again however, one investor is no longer content to sit quietly and wait. In this segment from Monday's Where the Money Is, Motley Fool financial analysts David Hanson and Matt Koppenheffer take a look at mutual fund investor Bruce Berkowitz's recent demands that Fannie and Freddie stop sending the Treasury dividends, reinstate shareholder meetings, and once again move toward being listed on a major stock exchange.
Investing in Fannie and Freddie could still be very risky. Is Berkowitz being impatient?
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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.