What is the Federal National Mortgage Association?
The Federal National Mortgage Association is a shareholder owned,
publicly traded, corporation that purchases mortgages, converts them
into mortgage backed securities and then sells the securities to investors.
The Federal National Mortgage Association is also called FNMA or
Fannie Mae.
Fannie Mae guarantees repayment of principle and interest to the
mortgage holders (the investors).
Fannie Mae's mortgage backed securities do not enjoy the full faith and
credit of the U. S. government. For that guarantee, you'll have to invest in
Ginnie Maes. The ticker symbol for Fannie Mae's stock is FNM.
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