OK to invest in Fannie and Freddie?
 

I am kind of new at this.

So Fannie (FNM) is $1.64 and Freddie (FRE) is $1.83.

With this government bailout, could they improve over time or are they like Enron?

Hard to say.. I have some stock in them but who knows the govt could still step in and break the companies up and wipe out the share holders. I've heard the rumblings of "if it's too big to fail why let them get so big".

I bought at $6 back when it looked like they weren't going to need the bail out. The stock was doing fine it was up around $10 and I knew I should have sold. Then out of the blue the govt came in and the stock tanked. It was 40 cents a week or so ago.

Just no telling what this govt is going to do these days. You can make money on the short term though, but you just never know if it will go to $3 or .50 cents at this point.

More a gamble than anything else.