Fannie Hires Morgan Stanley, Freddie Hires JPMorgan
Posted on 06/16/2020
Federal National Mortgage Association (Fannie Mae) hired Morgan Stanley as a financial advisor in the hopes of getting the government-sponsored enterprise back to private markets by boosting its capital and evaluation market impacts. Federal Home Loan Mortgage Corporation (Freddie Mac) hired JPMorgan Chase & Co. as a financial advisor as well. The mortgage giants are preparing to recapitalize and eventually exit conservatorship. The U.S. federal government took over Fannie Mae and Freddie Mac during the zenith of the 2008 global financial crisis.
The Federal Housing Finance Agency’s owns financial advisor is investment bank Houlihan Lokey. Houlihan Lokey will assist in developing plans to help return Fannie Mae and Freddie Mac back to the private markets and out of direct government control.