1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
Canadian Value
Canadian Value
Articles (4624) 

Bruce Berkowitz of Fairholme Takes a $500 Million Stake in Fannie Mae and Freddie Mac

May 29, 2013 | About:

Announced today, Berkowitz has taken a $500 million stake in the preferred equity of Fannie Mae and Freddie Mac.

Berkowitz has already looked very prescient with his huge investment in AIG (NYSE:AIG) which is also a company that was destroyed in the 2008 financial crisis.

Berkowitz wrote the following to CNBC with respect to his newly revealed positions:

"Taxpayer dollars expended by the government during a time of national crisis will be fully repaid, and equitable treatment of taxpaying shareholders, including community banks and insurance companies, must be restored.

"The government's ability to fully recoup its investment and restoring value to shareholders are not mutually exclusive. This is the American way.

"The time to restructure Fannie and Freddie is upon us, sustaining our nation's economic recovery requires it. On behalf of the hundreds of thousands of Fairholme shareholders who helped to rebuild American International Group,Bank of America, CIT Group, General Growth Properties, MBIA Inc., and others after the Great Recession – we stand ready to do our part."

About the author:

Canadian Value

Rating: 3.9/5 (11 votes)


Jonmonsea premium member - 4 years ago
Anybody thought about investing in these or know of extant analyses somewhere online?

Please leave your comment:

GuruFocus has detected 3 Warning Signs with American International Group Inc $AIG.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.

Performances of the stocks mentioned by Canadian Value

User Generated Screeners

pbarker46Begin here 3
DBrizan2017sep22 1045p
andrewgu999nick scali style
liuzishudeep value non-div
star1907Rule #1
star1907C3 20% Growth 5 yr
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat