Billionaire hedge fund manager Bill Ackman has reignited interest in two government-sponsored enterprises (GSEs): Fannie Mae (FNMA) and Freddie Mac (FMCC). The two companies have seen remarkable market performance with his bold claim that these mortgage giants have “large asymmetric upside.” His recent social media post on X caused both stocks to jump above 50%.
These gains come as big changes are happening in the mortgage market, along with growing interest in President-elect Donald Trump’s second term. Many analysts believe Trump could speed up the privatization of these companies.
