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163. The $7.8 Trillion Question: Should the GSEs Be Privatized? GSEs 101

Author
Kristen and Jen
Published
Fri 06 Jun 2025
Episode Link
None

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In this episode, we sit down with Olga Gorodetsky, a Director in Capital Markets at Fannie Mae, for an in-depth conversation about the role of Government-Sponsored Enterprises (GSEs) in the U.S. housing finance system. Olga walks us through the history and mission of Fannie Mae and Freddie Mac, explaining how these institutions provide liquidity and stability to the mortgage market. We explore how mortgage-backed securities (MBS) are created, who trades them, and why they are essential to the broader financial ecosystem. Olga also offers a clear explanation of what happened during the 2008 financial crisis that led to the conservatorship of the GSEs, what conservatorship means in practice, and how it continues to shape the debate over housing finance reform. Finally, we discuss the current state of the mortgage and capital markets, including recent policy developments and headlines that are evolving in realtime. Whether you’re an investor, a homeowner, or simply curious about how mortgages connect to Wall Street, this episode offers timely insights and expert perspective on one of the most important — and often misunderstood — parts of the U.S. economy.

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