GSE primer: What’s the deal with Fannie Mae and Freddie Mac?

There has been plenty of talk about Fannie Mae and Freddie Mac and the government’s proposal to recapitalize them and release them from conservatorship. However, not everyone may be familiar with the history of these two government-sponsored enterprises (GSEs) and the issues that face them. Bank analyst Dick Bove of Odeon Capital released a primer on Fannie and Freddie this week to help investors understand them and everything that’s happening with them. Q2 hedge fund letters, conference, scoops etc Fannie and Freddie: the basics According to Bove, Fannie Mae has 1.158 billion outstanding common shares owned by the public, and…