But the stratagem comes with costs. According to FHFA estimates, Fannie and Freddie will face between $1.1 billion and $1.7 billion in additional charges due to the extension. That’s on top of the estimated $6 billion the two have already incurred.
The creation of a U.S. sovereign wealth fund could grease the skids for an end to the conservatorships of Fannie Mae and Freddie Mac.
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