alf44
2,025 posts
msg #68321
- Ignore alf44
modified |
10/12/2008 2:28:48 AM
...creating a new thread for this topic...over here in the Discussion Room...where it should be !!!
Feedback Welcome !!!
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alf44
2,025 posts
msg #68322
- Ignore alf44
modified |
10/12/2008 2:30:01 AM
ya know...I can't believe I'm saying this...but...
...the MORE I read... and study...and think...about FNM (ie. "Fannie Mae") ...the more I'm tempted !!!
REALLY tempted !!!
Make no mistake...it is a highly speculative play...and COULD result in a loss of your entire wager !!!
But...as a LONG TERM..."buy a pile of Fannie for under a buck and forget about it for the next 10 years play"...it could ALSO...pay off HUGE !!! imo
PLEASE...someone tell me why that's a bad idea ! (well...aside from the possibility of "losing your entire wager")
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I almost view it as a "cheap" Call Option...with NO expiration (a sorta LEAP if you will) !
The Treasury / Fed could ...uhhh... could be your ally in this trade...think about it !!!
Then again, the Treasury / Fed could ...uhhh ... could step in at any moment...and change the rules...and therefore...well "screw" you !!!
But, aside from that...I could actually make a pretty convincing BULLISH case for buying a buttload of "Fannie" and socking it away for 10 years (or less) !!!
Please...someone...try to talk me out of this !!!
TIA
Regards,
alf44
-disclosure- I bought a 1000 FNM @ ~ $1 on Friday...looking to scale in...and maybe building a much larger position....BUT...still studying this situation ! fwiw
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FuriousThug
256 posts
msg #68344
- Ignore FuriousThug |
10/12/2008 8:48:48 PM
How familiar are you with nationalized banking/finance systems?
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rtucker
318 posts
msg #68345
- Ignore rtucker
modified |
10/12/2008 9:29:36 PM
j
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TheRumpledOne
6,407 posts
msg #68349
- Ignore TheRumpledOne |
10/13/2008 12:56:03 AM
Just trade what you see.
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alf44
2,025 posts
msg #68369
- Ignore alf44 |
10/13/2008 10:57:40 AM
"How familiar are you with nationalized banking/finance systems?"
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Not that familiar, actually !
However, I don't think that accurately describes this situation ! fwiw
Regards,
alf44
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