Finance
Fannie Mae (FNMA) primarily serves the mortgage market by:
AOriginating government-backed mortgage loans
BPurchasing conforming mortgages from lenders, providing liquidity for new lending✓ Correct
CSetting maximum interest rates for home loans
DInsuring mortgages against borrower default
Explanation
Fannie Mae (Federal National Mortgage Association) operates in the secondary mortgage market by purchasing conforming conventional mortgages from lenders, packaging them into mortgage-backed securities, and freeing up funds for lenders to make new loans.
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