agency securities

0.0(0)
Studied by 0 people
call kaiCall Kai
learnLearn
examPractice Test
spaced repetitionSpaced Repetition
heart puzzleMatch
flashcardsFlashcards
GameKnowt Play
Card Sorting

1/6

encourage image

There's no tags or description

Looks like no tags are added yet.

Last updated 2:53 AM on 4/28/26
Name
Mastery
Learn
Test
Matching
Spaced
Call with Kai

No analytics yet

Send a link to your students to track their progress

7 Terms

1
New cards

Congress authorizes the following agencies of the federal government to issue debt securities:

  • Farm Credit Administration (FCA)

  • Government National Mortgage Association (GNMA or Ginnie Mae)

  • Other agency-like organizations operated by private corporations

    • Federal Home Loan Mortgage Corporation (FHLMC or Freddie Mac)

    • Federal National Mortgage Association (FNMA or Fannie Mae)

    • Student Loan Marketing Association (SLMA or Sallie Mae)

2
New cards

The term agency is sometimes used to refer to entities that are not technically

government agencies but that have ties to the government.

3
New cards

agency securities most likely to appear on the exam.

Farm Credit System (FCS)

Government National Mortgage Association (GNMA or Ginnie Mae)

Federal Home Loan Mortgage Corporation (FHLMC or Freddie Mac)

Federal National Mortgage Association (FNMA or Fannie Mae)

4
New cards

Farm Credit System (FCS)

  • National network of lending institutions that provides agricultural financing and credit.

  • Raises funds through the sale of Farm Credit Debt Securities to investors.

  • Funds are made available to farmers through banks and Farm Credit lending institutions.

  • The FCA, a government agency, oversees the system.

5
New cards

Government National Mortgage Association (GNMA or Ginnie Mae)

  • GNMA certificates are the only agency securities backed by the full faith and credit of the federal government.

  • GNMA certificates have a stated 30-year life.

  • When mortgages are paid off early, GNMA investors will receive back all outstanding principal of that loan at par.

  • pay principal and interest payment montly

6
New cards

Federal Home Loan Mortgage Corporation (FHLMC or Freddie Mac)

  • ackages mortgages into mortgage-backed securities for sale to investors.

  • Freddie Mac certificates pay principal and interest monthly. Note that FHLMC also issues bonds that pay semi-annual interest.

  • Securities it issues are backed by FHLMC's general credit, not by the U.S. Treasury.

7
New cards

Federal National Mortgage Association (FNMA or Fannie Mae)

  • Fannie Mae certificates pay principal and interest monthly. Note that Fannie Mae also issues bonds that pay semi-annual interest.

  • Securities it issues are backed by FNMA's general credit, not by the U.S. treasury.