Recruitment and retention of executives and staff at Fannie Mae and Freddie Mac remain a “principal risk management challenge” to the two GSEs, a problem that is likely only to worsen with time, according to Fannie and Freddie’s regulator. During a speech last week, Federal Housing Finance Agency Acting Director Edward DeMarco cited several recent key executive departures from both GSEs as a concern for both companies. “How does one preserve and conserve the value of a company’s human capital in the face of an uncertain future?” asked DeMarco. “For the duration of the conservatorships, I believe the best way to protect taxpayer interests in...