Nick Gwiazda

Nick Gwiazda is a Finance graduate from the University of Connecticut with double minors in Economics and Italian. He has been investing and following markets for a decade, has experience on Wall Street, and is an Economist as well as a financial video editor. 

Nick Gwiazda

Don't Buy Fannie Mae Stock, Buy Pizza

On March 14, Fannie Mae stock was floundering around 50 cents per share. On March 15, the fuse was lit on shares of FNMA as housing legislation rumors swirled around the digisphere. By March 16, the stock jumped 20 percent, and by the end of the next day it hit 75 cents per share -- a 50 percent spike in a week on pure rumors. Not bad.A week later, Fannie Mae stock tripled, then lost all of the value it gained in the same day. Does anybody else see a serious problem with this? I do. Originally, I wanted to buy Fannie Mae stock, thinking it sounded like a lucrative idea. The line of thought went something like: The better the housing market does, the better the stock will do, right?

What Will The U.S. Do With Fannie And Freddie? Take Their Money, Of Course

The surplus the United States government magically conjured up for the month of April has created a media maelstrom. A portion of the surplus was on behalf of higher tax receipts following tax season. Another part was a surprise influx of cash from Fannie Mae and Freddie Mac -- to the tune of $95 billion.It would therefore make sense for the U.S. government to keep Fannie and Freddie as long as possible, to serve as a profit engine to zip up its deficits.Think about it. At the moment, the government has Fannie and Freddie in conservatorship. And for the time being, it’s unknown whether shareholders will be entitled to future profits -- all profits currently go to the government. There is also rumor that the two companies will be consolidated into a single entity.