Fannie Mae was established in 1938 by the federal government to expand the flow of mortgage money by creating a secondary market. As a private, shareholder-owned company, it facilitates the flow of mortgage capital to increase the availability of homeownership for low-, moderate-, and middle-income Americans. Its primary market participants include mortgage companies, savings and loan associations, savings banks, commercial banks, credit unions, and state and local housing finance agencies. The company s mortgage portfolio includes mortgage loans, mortgage-related securities, and other investments purchased from lenders, securities dealers, investors, and other market participants. Its liquid investments include cash and cash equivalents, nonmortgage investments, and loans held for securitization and sale. It also shares mortgage credit risk with third parties. Daniel H. Mudd has been the chief executive officer of Fannie Mae for more than one year. He has been with the mortgage and investment company for over six years. Mudd earned a BA degree from the University of Virginia. Fannie Mae is based in Washington, D.C.