Freddie Mac is updating its guidelines to include explicit language requiring mortgage companies to establish a clear artificial intelligence framework governing the technology's internal use. The new rules become effective on March 3, 2026 and mandates compliance with the policy for businesses using AI and machine-learning tools in connection with loans sold to or serviced on behalf of the government-sponsored enterprise.  Fueled by the rapid growth of artificial intelligence platforms in the public domai ...

Core Viewpoint - Michael Burry, a prominent money manager, holds significant positions in Fannie Mae and Freddie Mac common stock, believing that a re-listing of these housing-finance giants is imminent [1][2]. Company Insights - Burry has expressed a bullish outlook on Fannie Mae and Freddie Mac, citing political and regulatory challenges that must be addressed for a public offering to take place [1][4]. - He personally owns substantial amounts of both companies' common stock and is analyzing the political dynamics and potential valuation in a future sale [3]. - Shares of Fannie Mae and Freddie Mac have seen notable gains, with Fannie Mae rising 3.9% and Freddie Mac climbing 3.1% recently, contributing to over a 15% increase in value this month [3]. Regulatory Considerations - For a public offering to occur, Burry argues that regulators need to relax capital requirements, convert certain preferred shares into common stock, and reduce the government's claim on the companies, as the current claims render common shares "worthless" [4]. - Burry acknowledges that significant challenges remain before an IPO can be realized for both companies [4].

Fannie & Freddie, Toxic Twins No More No More? ExcerptRecently, both news and gossip has picked up.August 1st, Bloomberg reported that Trump was meeting with CEOs of the biggest banks to discuss monetizing the GSEs.On August 8th, the WSJ cited sources claiming the valuation for the two would be roughly $500 billion. A couple days later Bloomberg reported on plan where Treasury sells 5-15% in each, totaling a $30 billion IPO.August guidance from President Trump indicated they would continue under government ...

"Big Short" investor Michael Burry sounded early alarms about the subprime mortgage market's excesses — the same risks that later engulfed mortgage giants Fannie Mae and Freddie Mac. Now, Burry wrote in a Substack post on Monday that he owns "good size" positions in both companies' common stock — and believes a long-awaited plan to take them public again may finally be approaching."Once each company is released from capital restraint by their IPOs, I expect growth to accelerate naturally," he wrote. In hi ...

Core Viewpoint - Michael Burry has taken sizable positions in Fannie Mae and Freddie Mac, indicating a bullish outlook on these mortgage finance giants as they may return to public markets, which he refers to as "Toxic Twins No More" [1][2][5] Group 1: Investment Thesis - Burry projects that an IPO for Fannie Mae and Freddie Mac could price shares between 1 and 1.25 times book value [2] - He anticipates that once listed, shares could trade at 1.5 to 2 times book value within one to two years, expecting natural growth acceleration post-IPO [3] - The investment marks a significant shift for Burry, who previously warned about the GSEs' fragility and past failures, including the 2008 crisis [4] Group 2: Market Context - Burry speculates that Berkshire Hathaway could take a substantial position in Fannie Mae and Freddie Mac if they go public, as Berkshire previously held stakes in these companies before the 2008 crash [6] - The potential IPOs align with reports that the Trump administration may launch them later this year, with Fannie and Freddie currently guaranteeing approximately 62% of outstanding U.S. mortgages [7]

Michael Burry, the money manager made famous in The Big Short, says he holds sizable positions in both Fannie Mae and Freddie Mac common stock and believes a re-listing of the US housing-finance giants is “nearly upon us" https://t.co/g2cNYaODXT ...

Core Viewpoint - Investor Michael Burry, known for "The Big Short," has significant investments in Fannie Mae and Freddie Mac, anticipating substantial price increases if the U.S. mortgage finance giants are taken private [1] Group 1: Company Insights - Michael Burry holds sizable positions in Fannie Mae and Freddie Mac, indicating confidence in their future performance [1] - The expectation of a material rise in the value of these companies suggests a potential shift in the mortgage finance landscape [1]

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I published Fannie & Freddie, Toxic Twins No More No More? It is a 30 min read, not a light lift.My Excel models for these two are downloadable at the end of the article.https://t.co/SxhG8It3nA https://t.co/03knZAGMTj ...

I published Fannie & Freddie, Toxic Twins No More No More. It is a 30 min read, not a light lift.My Excel models for these two are downloadable at the end of the article.https://t.co/SxhG8Isvy2 https://t.co/ShPCPaoD5u ...