Hedge funds urge Congress to privatize GSEs

Some hedge funds have met with the Senate Banking Committee and staff members in the House of Representatives to push a plan that involves selling off the government’s stake in the GSEs to private investors, Bloomberg reported. They argue that the move would generate a profit for taxpayers, according to the news service. But it also would benefit investors in the companies, including hedge funds that currently hold large positions in preferred shares of the them, Bloomberg noted. Source: Bloomberg