Matthew Halbower: 'Absolutely' believe government will privatize Fannie and Freddie

Investment Strategy & Portfolio - Pentwater Capital, an event-driven hedge fund, manages $7 billion in assets [1] - The fund held an economic interest in US Steel exceeding $1 billion [5] - Pentwater Capital has a $1.3 billion face value position in Fannie and Freddie preferred stock [16] Fannie and Freddie Privatization - The fund believes the Trump administration will release Fannie and Freddie from conservatorship and allow them to be relisted [8] - The fund believes the preferred stock has more appreciation potential than the common stock due to potential dilution of common shareholders [9][13][14] - The fund anticipates the government might convert its senior preferred shares into common stock, potentially diluting common shareholders [12][13] - The fund believes privatizing Fannie and Freddie will occur before the end of the current administration [14][15] US Steel Acquisition - The fund correctly predicted the closing of the US Steel acquisition by Nippon at $55 [2] - The acquisition involved a "golden share" provision, a novel concept in the United States [4] - The fund actively engaged with senators and the administration to advocate for the US Steel deal, highlighting Nippon's $14+ billion investment in Pennsylvania [3][4]