“It would certainly conflict with the notion that we’re trying to bring private capital back into this marketplace,” DeMarco said.

Corker, in the interview, said he’s been blunt with the hedge funds that hope to profit by betting that the two companies will stay alive.

“I tell them it’s a lottery ticket at best,” Corker said. “I just don’t see any appetite in Congress for Fannie and Freddie ever being returned to the private market.”

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