AD712 US Government Supervision on Fannie & Freddie After Financial Crisis Paper Please read the instructions of this research paper carefully.Instructions

AD712 US Government Supervision on Fannie & Freddie After Financial Crisis Paper Please read the instructions of this research paper carefully.Instructions and requirements are all included in the File 1.

Remember,you need to base on my TOPIC ! And I wrote a Word which shows my topic(File 2).Please also read it carefully. You can search all the materials about Fannie Mae and Freddie Mac online.

Also,I made it yellow of my topic in the instruction and requirements File(File1).

File3 is an ebook about Financial Markets and Institutions that I think you may need.

Repeat:1.You need to complete all the requirements in File1. 2.You need to base on my topic.

Please also offer all the references when you complete. AD712 Term Paper
Changes in Institutions and Capital Markets Following the Financial Crisis
Beginning even before the full impact of the 2007-2009 (and continuing) financial crisis was
appreciated, governments, financial regulators, and the financial institutions themselves have
implemented major changes in the practices of those institutions. These changes continue and
will have a dramatic impact on the ways that the finance industry operates. These changes
include (but are certainly not limited to):
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The Dodd-Frank Bill in the US
The Basel III capital standards which will significantly increase the amount and type of
capital that banks are required to hold
Intervention by central banks to support the liquidity of financial institutions by
purchasing securities from or lending against those securities as collateral to the
institutions (which also functions as a monetary policy device to increase the money
supply and maintain low interest rate)
Nationalizing or forcing the merger of financial institutions
Separating commercial banking and investment banking operations
Limiting the size or market share of institutions
Restricting commercial and investment banks from trading for their own account
Requiring all (or a greater proportion of) derivatives trades to be conducted over listed
exchanges
Restructuring how LIBOR (or a replacement interest rate benchmark) is calculated
Forcing junior and senior bondholders (and depositors in the case of Cyprus) to share in
the losses when a bank is bailed out
Limiting or banning certain practices such as short selling of the equity of financial
Institutions
Bank lending practices, including predatory lending
Limiting or intervening in the foreclosure of defaulted mortgage loans
Restricting the use of ratings developed by the commercial rating agencies such as
Moody’s, Standard & Poor’s and Fitch
Restructuring Fannie Mae and Freddie Mac as well as other GSEs
For your paper you are to select one of these changes and analyze it. Select an issue (or part of
an issue) which is possible to you to sufficiently grasp and analyze. For example, the Dodd
Frank Act is much too broad, at 1000+ pages, to tackle, so taking one aspect of the Act, such as
the so-called Volker Rule, or the limitation on credit ratings might be more reasonable to tackle.
Your selection can extend beyond this list, to examine other actions and can include those in
markets outside the US, subject to the approval of the facilitator.
Papers should be between 12 and 15 pages double spaced, and 15 should be considered a
reasonable maximum. Papers MUST include a bibliography of sources cited. Any direct or
indirect quoting or paraphrasing of other material MUST be footnoted. While facts and
information will underlie the discussion, the key to this assignment is your analysis and
conclusions regarding the topic. The analysis should at a minimum include:
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A description of the problem or issue it was intended to address
Who, and to what degree, is affected by the action? In a positive or negative way? For
example, restrictions on lending behavior affects the lenders themselves, the potential
borrowers, and potentially the economy as a whole.
What has been the result of that action? Some may not be fully implemented but
actions may already have been taken to address them, for example, increases in
required bank capital under Basel III will not be required for several years but banks
have already taken action to increase their capital).
Students MUST submit to their facilitator the subject of their papers and a brief (i.e. one or
two paragraph) description of the topic by the end of the second week of classes AT THE
LATEST.
The paper is to be prepared using the APA writing style and guideline for references format. This
is for references at the end of the paper and the citation of author and dates in the body of the
paper. The department uses the APA style as it lends itself well to both reading the paper and
understanding references without being cumbersome as some of the other styles are (such as
Chicago or MLA). You can down load the student style guide from the American Psychological
Association (http://www.apastyle.org/elecref.html) web site.
Papers are to be RESEARCH PAPERS. Remember that work that you use from other authors
MUST be referenced and papers MUST include a bibliography. Since it is assumed that you are
not an authority on the topic that you are writing on it is expected that this paper is an overview
of many different sources of information. These must be contributed to the author using the APA
format. This is your paper and not the cut and paste of someone else’s work. The internet has led
to a false sense of what research is all about. Those new to research tend to think that it means
spending an afternoon surfing the internet and then an afternoon cutting from material available.
Keep in mind the internet is: 1. Not quality oriented as it has good stuff and not so good stuff but
the internet does not know the difference and 2. The internet is NOT a sole source location. In
particular, sources such as Wikipedia are the works of individual submitters which are not
reviewed. Thus while many entries provide excellent information, some are fundamentally
flawed or just plain wrong. Keep in mind that the local, state and the national US Library of
Congress have extensive on-line services. USE THEM.
Topic: The U.S. Government’s Supervision on Fannie Mae and Freddie Mac
after Financial Crisis.
I have read several books about Financial Crisis, and I admire a book or movie called
Too big to fall. It mentions the influences that Freddie Mac and Fannie Mae resulted
during Financial Crisis.
After Financial Crisis, the U.S. government’s low-cost acquisition of Freddie Mac and
Fannie Mae has caused controversy. Did the U.S. government provide an implied
guarantee for their debt? Is the implied warranty legal? And are the various special
preferential treatments enjoyed by Freddie Mac and Fannie Mae legal? I hope to
explore whether the U.S. government needs to reform its policies and laws that
support itself. Is it supposed to the government to “help too much” because some
companies are “too big”, even if the company’s irregular operations have caused great
damage to the stability of the entire financial system? What is the far-reaching impact
of the government’s approach? What are solutions to above problems?
In fact, there is a solution for instance. The Dodd-Frank Act provides a mechanism for
large institutions to fail-safe. This mechanism is for any institution that is considered
to be under-supervised. It can be voted to specify that it accepts the supervision of the
Federal Reserve. In the future, there will be no more large-scale, more comprehensive,
and more critically-critical companies outside of regulation.
I sincerely hope to be permitted to discuss this topic.

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