Two of our best performers during the period were Fannie Mae (FNMA, Financial) and Freddie Mac. Both are absolutely essential for uniquely- a merican, affordable mortgages. If you disagree, try getting a 30-year, sub-5% mortgage outside of the United States. In 2008, both companies agreed to U.S. conservatorship and extraordinarily harsh terms and conditions during a time of global crisis. The plan worked. Fannie and Freddie saved the day, repaid nearly every penny of cash received from the u . s . Treasury, and can look forward to resuming a prosperous future based just on the aging of assets held. However, many believe Fannie and Freddie will be victims of a government-sponsored expropriation that brings our country closer to a future conceived by George Orwell in his novel, 1984 . We disagree
From Bruce Berkowitz (Trades, Portfolio)'s fourth quarter shareholder letter.
