St Louis Fed's Poole on GSE risks

In a speech on 'GSE risks' given on 13 January, William Poole of the Federal Reserve Bank of St. Louis said Fannie Mae and Freddie Mac should be required to hold more capital to cushion against shocks, even ones that seem unlikely.

"Their capital positions are thin relative to the risks these firms assume," Poole told the St. Louis Society of Financial Analysts.

Poole, a frequent Fannie Mae and Freddie Mac critic, said while investors may think the government would bail them out, it was unclear

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