Finance

Which federal agency oversees and regulates Fannie Mae and Freddie Mac?

AA. The Federal Reserve
BB. The Federal Housing Finance Agency (FHFA)✓ Correct
CC. The Department of Housing and Urban Development (HUD)
DD. The Securities and Exchange Commission (SEC)

Explanation

Fannie Mae (FNMA) and Freddie Mac (FHLMC) are regulated by the Federal Housing Finance Agency (FHFA), which also placed both agencies into conservatorship in 2008 following the financial crisis.

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