More Self Serving Bullshit

Wow - the guys at PIMCO must really be panicked about Fannie and Freddie. Bill Gross has come out to echo what shitbird #2 - Mohammed El-Arian - said on Friday, that FRE and FNM assets are "undervalued" and a "great baragin".

From Bloomberg:

Bill Gross Says Fannie Mae, Freddie Mac Mortgages `Excellent'

By Kathleen Hays and Sandra Hernandez

July 21 (Bloomberg) -- Bill Gross, who manages the world's biggest bond fund, said mortgage-backed bonds issued by government-sponsored entities Fannie Mae and Freddie Mac are ``an excellent buy.''

``It's basically the mortgages where many buyers have stood aside,'' including sovereign wealth funds and central banks, said Gross, the managing director of Newport Beach, California- based Pacific Investment Management Co., in a Bloomberg Television interview. ``Not only do you have the agency guarantee but you have the mortgage to back you.''

Eight of the top 10 holdings in Gross's $128.8 billion Total Return Fund were mortgage-backed securities guaranteed by Fannie Mae, according to data compiled by Bloomberg News as of March 31, the latest date for which figures are available. Mortgage securities made up 61 percent of the fund as of June 30, up from 53 percent a year earlier, according to Pimco's Web site.

Cash equivalents, a category of assets with duration of less than one year, made up the second-largest portion of the fund. Duration reflects the sensitivity of a bond's price to changes in interest rates.

The Total Return fund has returned 4.7 percent annually over the past five years, beating 84 percent of its peers in the government and corporate bond fund category as of July 18, according to Bloomberg data. Pimco, a unit of Munich-based Allianz SE, has $830 billion of assets under management.

Well, if they are so goddamn "excellent", why is he telling the whole freaking world about it? I mean, why let everybody else in on your secret strategy to outperform your peers? What about some "can't miss" penny stock picks, has he got any of those?

Again, if they really are so great he would have his fucking mouth shut and be buying all he could find all while telling everyone how much they suck. Instead, he has everybody in the company babbling to the press about how "excellent" they are, and how they are "undervalued", and all the while is probably selling. Now, why would he do that????

Because when they blow up he wants YOU to own them, not him.

No direct proof but again, you don't see the coach of the Patriots publishing his game plan online the night before the Super Bowl, do you?

Something to think about.