Sun, May 29, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge fund Perry Capital sues Feds over Fannie Mae bailout

Monday, July 08, 2013

Precy Dumlao, Opalesque Asia:

A group of investors led by hedge fund Perry Capital sued the Federal government for allegedly seizing all profits from the bailed-out mortgage finance companies and Fannie Mae and Freddie Mac saying the move destroyed investors’ holdings, various media reported.

According to The Journal, the lawsuit was filed Sunday in Washington in which Perry Capital accused the Treasury Department and Federal Housing Finance Agency of violating the terms of the 2008 bailout agreement with the failed mortgage companies after it decided in August last year to capture all profits.

Perry Capital, which started its position in Fannie Mae and Freddie Mac in 2010, wants the Federal government to recall the decision. It said that the bailout agreement did not provide specific mechanism for the two firms to repay the $187.5bn in bailout fund the government extended in 2008 to rescue the then ailing firms.

The report added that another group of investors have filed a much larger lawsuit against the government’s 2008 seizure of the two firms.

The recovering housing market in the U.S. resuscitated Freddie Mac’s and Fannie Mae’s fortunes that investors have been piling up to retain their investments.

As the two firms returned to making money, they had already paid $132bn in dividends as at end June this year, reported ......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Americas - Australian banks sending U.S. hedge funds broke, Ryan Puerto Rico ‘rescue’ bill could be windfall for hedge funds[more]

    Australian banks sending U.S. hedge funds broke From SMH.com.au: US hedge funds are not having the best of years. Profits are hard to find, they're underperforming and the punters are losing patience, withdrawing US$15 billion ($20.8 billion) in the March quarter. They're expected to wit

  2. Investing - Billionaire Wilbur Ross likes the look of Chinese bad loans, Hedge funds are still relevant in a diversified portfolio: 4 fundamental criteria for superior manager selection[more]

    Billionaire Wilbur Ross likes the look of Chinese bad loans From Bloomberg.com: U.S. billionaire Wilbur Ross said he’s considering investing in nonperforming loans in China, as Moody’s Investors Service said that the nation has the tools to prevent a financial crisis in the near term. I’

  3. Investing - Blackstone gives pricey Canadian energy and property thumbs down, One of the most concentrated hedge fund bets is getting crushed, Facebook is hedge funds' new tech darling,[more]

    Blackstone gives pricey Canadian energy and property thumbs down From Bloomberg.com: Canada’s energy assets are uneconomic and real-estate markets overvalued, making them less attractive for investment than in the U.S. and elsewhere, according to Tony James, president of Blackstone Group

  4. Study - Only 30% of institutional hedge fund portfolios beat the benchmark[more]

    Bailey McCann, Opalesque New York: A new study from CEM Benchmarking, an independent provider of cost and performance analysis for pension funds, shows that only 30 percent of institutional investors hedge fund portfolios beat the benchmark after fees. The study provides in depth analysis of real

  5. Opalesque Exclusive: $1bn hedge fund club grows to 668 managers, continues to dominate (Part One)[more]

    Komfie Manalo, Opalesque Asia: Despite an underwhelming 2015 and a slow start to 2016 in terms of performance, one group of managers that continues to dominate the assets of the hedge fund industry is the so called $1bn club – hedge fund managers with at least $1bn in assets under management (AU