Billionaire investor Bill Ackman proposed merging U.S. government-sponsored enterprises Fannie Mae ( OTCQB:FNMA) and Freddie Mac ( OTCQB:FMCC) in a post on X this Sunday. He argued that such a merger would lower mortgage rates and create significant operational and financial synergies.

The Trump administration is considering selling the US government's stakes in Fannie Mae (FNMA) and Freddie Mac (FMCC) through a public offering that could raise $30 billion. Yahoo Finance Senior Markets and Data Editor Jared Blikre explains what public trading of the mortgage giants would mean for investors after years of government conservatorship.