I'm thinking of investing in freddie mac or fannie mae is this a good idea ?
Looking to make some pretty aggresive investments in the near future. Looking for stocks and ETF’S.
Tagged with: etf • investments • stocks
Filed under: Freddie Mac Questions
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I would only invest any spending money of Freddie/Fannie. They are federal companies and it is very likely that those two companies will end up with their stock at 0.
no idea lol
…you’d do better giving you money to Pee Wee Herman or "Willey Coyote" !
Im sure you can do better than that.
Remember they were the excessively greedy ones.
Great idea to pick up on cheaper stock at the moment
Best of Luck
Freddie and Fannie are dead for now since the government is buying up bad mortgages at discounted rates so essentially putting in money to buy bad investments in the hope it will aid the housing recovery. Since the government owns a large share in Fannie and Freddie the ROE won’t go to public shareholders. The stock price will remain low until the consumer can start buying houses.
Aggressive ETF’s would be financial since they have declined so much – probably better to buy Fanny and Freddie in a diversified Financial ETF. VFH and VHT from Vanguard are good investments one in financials and the other health care. You can also go overseas with Financials with DRF from Wisdomtree which has also been battered down. Good luck with your investments!