Philosophy…………………………………………………………………4 Corporate Growth and Diversity.…………………………………………………………………6 Conclusion………………………………………………………………………………………...7 References…………………………………………………………………………………………8 Figure Chart 1……………………………………………………………………………………10 Fannie Mae Fannie Mae is a leading mortgage company and one of the most financially successful businesses within its industry. Given the salient features of the organization that has culminated into its current standing‚ this report offers a brief but concise overview
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GOVERNMENTAL ACCOUNTING EXTRA CREDIT H/WORK FANNIE MAE AND FREDDIE MAC 1. Fannie Mae was started in 1938 by President Franklin Roosevelt. He wanted to create a system or a new deal which would benefit people who didn’t have homes. Fannie Mae is the nickname of what is known as the federal National Mortgage Association‚ and Freddie Mac is the nickname for Federal Home Mortgage Corporation. 2. The great depression was the major reason for such a system to be put in place simply because
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Fannie Mae case. Federal regulators noted a growing string of high profile scandals at major U.S. corporations in recent years. The number of fraud cases investigated by the Securities and Exchange Commission jumped 41 percent in the last three years (112 cases in 2001 compare to 79 cases investigated in 1998)‚ resulting in tens of millions of dollars in fines to settle the charges. I have decided to take a closer look at Fannie May. This company operates in the residential mortgage finance industry
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National Mortgage Association (FNMA) (NYSE: FNM)‚ commonly known as Fannie Mae‚ is a stockholder-owned corporation chartered by Congress in 1968 as a government sponsored enterprise (GSE)‚ but founded in 1938 during the Depression. Contrary to some beliefs‚ Fannie Mae does not make home loans directly to consumers‚ but rather functions as an intermediary in the U.S. secondary mortgage market. By purchasing and securitizing mortgages‚ Fannie Mae facilitates liquidity in the primary mortgage market by ensuring
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Use strategic thinking to outline a recommended alternative for Franklin Raines to use in deciding the strategic direction of Fannie Mae. It is 1998 and you are about to take over as CEO of Fannie Mae. Use the two cases on Fannie Mae in the Course Documents (Fannie Mae A and Fannie Mae B abbreviated) for background on Fannie Mae. Exactly how should Franklin Raines proceeded in terms of strategy development what subsequent implementation steps should he have adopted. The Strategic Audit process should
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The Fannie Mae Foundation created a guide‚ titled Knowing and Understanding Your Credit‚ to inform people on how to maintain good credit and move them closer to their dream of owning their own home. This guide covered the topics of building and maintaining a good credit as well as figuring out what kind of credit you have. Credit reports are records of how you paid off your debt and loans. It shows how much debt you have‚ if you’ve made loan payments on time‚ or if you’ve paid back the loans at
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A quick recap of what has already been discussed leading into the next segment of this paper. Fannie Mae (FNM) was created in 1938 as a mortgage association and in 1968 it became a Government Sponsored Enterprise (GSE). Freddie Mac (FM) also known as the federal home loan mortgage association was created as a GSE. Both organizations were in the business for buying mortgages from banks and turning them into mortgage backed securities. The differences of the two GSE’s are that FNM would tend to
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What do Fannie Mae and Freddie Mac do? Fannie Mae and Freddie Mac are "government-supported enterprises" (Gses). This implies that they are private enterprises but get help from the Federal Government‚ and undertake some public responsibilities also .The Gses give an optional market in home loans‚ obtaining home loans from the banks who start them. They hold some of these home loans‚ and some are "securitized" - sold as securities which the Gses ensure. The essential capacity of Fannie Mae and Freddie
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Bad Accounting 101: Fannie Mae Background on Fannie Mae Fannie Mae is the common name of the Federal National Mortgage Association‚ also abbreviated as FNMA. It is one of two of America’s largest mortgage companies‚ along with Freddie Mac (Federal Home Loan Mortgage Corporation – FHLMC).1 Fannie Mae guarantees and purchases loans from mortgage lenders to help ensure families can buy new homes or refinance.2 Fannie Mae was founded in 1938 as part of Franklin Delano Roosevelt’s New Deal during the
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The stock price of Fannie Mae from 1999 to 2008 (Source: Bloomberg) The Halo Effect provides the answers. It is a book to show the common delusions of the business writings. And to show us how to avoid these delusions and be critical to read the business researches
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