Ah, now I follow you --so Bloomberg says the Fed's buying $40B/month in MBS's. Well, sort of.
It's true that back then the FOMC did say they'd buy 'em up to $40B/mo. and the record of what they actually did buy shows they'd started already w/ $800B worth of MBS's and they've been selling some off while they've been buying. What's interesting is that mortgage interest rates have fallen to 3.5% (as was the Fed's reason for all this stuff in the first place) and the low interest rates helped make the default rate drop to 1% (also the Fed's goal) so that means the Fed's current $1.12T holdings is raking in $28B per month profit. That all means also that the MBS's are still selling at face value so as of today they're not "toxic".
OK, the sky might fall tomorrow and if it does then we can call the MBS's "toxic"; until then we can continue cutting a profit.
Your number is off, they only made a total of $91 billion last year.
