ALEXANDRIA, Va. - NCUA said last week that federally insured credit unions held more than $76 billion worth of so-called agency bonds, those issued by one of the government sponsored enterprises, at mid-year.
The vast majority of these are believed to have been issued by Fannie Mae or Freddie Mac, but some were issued by Ginnie Mae, the Federal Home Loan Banks or the Farm Credit Administration.
NCUA bars federal credit unions from owning stock, either common or preferred, in Fannie or Freddie.
But credit union holdings do include large quantities of Fannie or Freddie Debt, such as so-called bullets or callable bonds, as well as mortgage backed securities.(c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com/ http://www.sourcemedia.com/
