The Volcker Rule is designed to address conflicts of interest in proprietary trading, as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Proprietary trading, where banks trade for their own account and not on behalf of any client...
The simplest and cleanest way that regulators could deal with the controversial inclusion of CLOs is simply to not recognize them as covered funds,.....
The challenge, it seems, would most often arise when there were questionable trades that involved several legal entities within one institution, bringing into play the regulatory remit of more than one agency.
The banking industry’s push to exempt a group of debt investments from the Volcker Rule won a nod of support this week from senior Democrats in the House.
The American Bankers Association announced on Wednesday that it was dropping its lawsuit to block parts of the Volcker Rule from going into effect after regulators modified what the group found most objectionable.
By James Kwak The Wall Street Journal reports that the federal financial regulators may yet again carve a loophole in the Volcker Rule. This time, the issue is whether banks subject to the rule’s proprietary trading prohibitions can hold collateralized … Continue reading ?
Moments ago, the Senate Banking Committee started a hearing on the topic of "Financial Stability And Data Security." We assume the topic discussed will be financial stability, the highly diluted final version of the Volcker Rule, Dodd Drank, the London Whale, and other things legislators have no understanding of. Show More Summary
When TRuPs (and their CDOs) proved in the financial crisis to be less resistant to loss than previously thought, they fell out of regulatory favor.
The greatest central banker in my professional lifetime was Paul Volcker. His signal achievement was bringing down the inflation rate from roughly 15 percent to about 3 percent more than three decades ago. The simplest way to look at...Show More Summary
WASHINGTON (Reuters) - U.S. securities regulators fear they do not have the full range of enforcement powers to police Wall Street's compliance with the controversial Volcker rule, and told Reuters they are considering new rules to fill the gap.
Outside expertise brought to bear on policy makers can be a formidable ally, and that has been the case in the promulgation of the Volcker Rule, an economist writes.
Bank of America's fourth-quarter results exceeded Wall Street expectations. | Doctor admits sharing data with former SAC trader accused of insider trading. | Regulators revise Volcker Rule. | Michael Lewis has a new book.
First the Volcker Rule was defanged when last night the requirement to offload TruPS CDOs was eliminated, and now here comes Europe where the ECB just lowered the capital requirement for its "stringent" bank stress test (the one where Bankia and Dexia won't pass with flying colors we assume) by 25%. Show More Summary
So much for the strict, evil Volcker Rule which was a "victory for regulators" and its requirement that banks dispose of TruPS CDOs. Recall a month, when it was revealed that various regional banks would need to dispose of their TruPS...Show More Summary
Readers may recall that banks, in their eagerness to depict the final Volcker rule as a terrible miscarriage of justice, made a great deal of noise about the case of Zions Bank, which was blaming $378 million of prospective losses on the Volcker-rule requirement that banks sell these dubious instruments called TruPS CDOs by July 21, 2015. Show More Summary
The Volcker rule is just over a month old, meaning the time has come to carve the first major loophole out of it. U.S. regulators are set to give banks an exemption from Volcker Rule limits for collateralized debt obligations composed mostly of small-bank securities, according to two people briefed on the agencies’ plans. Show More Summary
WASHINGTON--Two key House Republicans said U.S. securities regulators violated federal law by approving the Volcker Rule without a detailed analysis of its economic consequences. House Financial Services Committee Chairman Jeb Hensarling (R., Texas) and Rep. Show More Summary
Two key House Republicans said U.S. securities regulators violated federal law by approving the Volcker Rule without a detailed analysis of its economic consequences.
An obscure provision in the finance overhaul is causing problems for small banks. It turns out, it's hard to figure out which risks banks should be allowed to take.
WASHINGTON (Reuters) - Several U.S. lawmakers waded into a squabble between small banks and their regulators this week, supporting the companies' efforts to scale back the so-called Volcker rule which restricts banks' ability to make bets with their ow...