Bove Drops Fannie Mae 2016 Estimates, Assuming Continued Operation

With all the new legislation being proposed, much of the discussion around Fannie Mae / Federal National Mortgage Assctn Fnni Me (OTCBB:FNMA) and Freddie Mac / Federal Home Loan Mortgage Corp (OTCBB:FMCC) has centered on what the future of the US mortgage market should look like and to what extent the US government should be involved. But Rafferty Capital Markets LLC vice president of equity research Richard X. Bove is also concerned about Fannie Mae as an investment. Insurance activity may grow as Fannie Mae’s core portfolio shrinks Bove drops his earnings estimate for Fannie Mae / Federal National Mortgage…