Obama hits Wall Street, pushes for bank limits
http://news.yahoo.com/s/ap/20100121/...ncial_overhaul
Quote:
So if these folks want a fight, it’s a fight I’m ready to have.
We simply cannot accept a system in which hedge funds or private- equity firms inside banks can place huge, risky bets that are subsidized by taxpayers and that could pose a conflict of interest. And we cannot accept a system in which shareholders make money on these operations if a bank wins, but taxpayers foot the bill if a bank loses.
It’s for these reasons that I’m proposing a simple and common- sense reform, which we’re calling the Volcker rule, after this tall guy behind me. Banks will no longer be allowed to own, invest or sponsor hedge funds, private-equity funds or proprietary trading operations for their own profit, unrelated to serving their customers. If financial firms want to trade for profit, that’s something they’re free to do. Indeed, doing so responsibly is a good thing for the markets and the economy. But these firms should not be allowed to run these hedge funds and private equities
|
http://ftalphaville.ft.com/blog/2010...marks-in-full/
No hedge funds and credit-default swaps for GS and BoA?
Is he serious or suicidal?
that's like telling the gamblers to stay out of casinos