So why did Fannie and Freddie's mortgage portfolio skyrocket from under $1 trillion to over $5 trillion?
The companies engaged in nearly $4 trillion in off-balance sheet financial activities. In their several hundred page 10-Q filings, off-balance sheet financing got one paragraph of honorable mention. That's one paragraph for 80% of the finance activities that you (and now the American people) are on the hook for.
What's more shocking is that these accounting regularities were exposed several years ago. Guess who exposed them and guess who rejected them.