October 28, 2011 |
FEW RULES COULD be clearer, in theory, than "Thou shalt not kill. " Yet even that commandment is subject to interpretation and exceptions (war, self-defense). And so the history of law-making is studded with well-meaning prohibitions — Prohibition itself, to name one — that were straightforward in principle but rather more complicated and occasionally unworkable in practice. Is the Volcker Rule the latest example? When enacted in 2010 as part of the Dodd-Frank financial reform law, the rule was intended to ban commercial banks from...
May 31, 2012 |
Washington policymakers should tighten the Volcker rule's ban on banks' speculative trades by reining in an exemption for hedging activity, former U.S. bank regulator Sheila C. Bair said Thursday. Speaking at a roundtable hosted by the U.S. Commodity Futures Trading Commission, the former chairman of the Federal Deposit Insurance Corp. said that exemptions to the Volcker rule should be strictly defined and that banks should have to publicly disclose their hedges. "I would tighten the rule," she said.
February 28, 2012 |
A new federal rule aimed at limiting risky behavior by banks is prompting protests from local and foreign governments alike, which warn it could make it harder for them to borrow money for public projects and operations. State and local officials say the new regulation, known as the Volcker Rule , could make it more expensive for them to raise money from investors to pay, for instance, for environmental cleanup and housing assistance. In the Washington area, the rule could affect borrowing costs...
May 21, 2012 |
Nearly two years after the signing of a major law to boost oversight of Wall Street, two Democratic senators are calling on President Obama to speak out even more strongly in favor of a new federal rule that they say should have banned the trading that led to JPMorgan Chase's $2 billion or more loss. But Obama is in a difficult spot. Although he introduced and supports the Volcker Rule, which bans banks from gambling with their own money, regulators have yet to finish writing...
October 11, 2011 |
Federal regulators unveiled a 298-page draft Tuesday outlining new rules to prevent big banks from trading for their benefit rather than on behalf of customers, nearly two years after the Obama administration endorsed such a measure. The "Volcker Rule," named after former Federal Reserve chairman Paul Volcker, would forbid banks from owning hedge funds and private-equity funds and prohibit them from making certain kinds of trades merely for their profit. It was...
October 25, 2012 |
Democratic lawmakers on Thursday criticized regulators for taking too long to finalize the Volcker Rule, a controversial provision passed in 2010 aimed at restricting banks from making risky investments with their own money. People familiar with the matter say a rift has developed between bank regulators and the nation's top markets regulator over how the rule should be shaped. That could delay a final draft beyond the end of the year, an informal deadline set by the Obama administration, those people said.