Arguably no scandal in the history of the futures industry has done as much damage as the MF Global debacle in the fall of 2011. The reason is that it challenged one of the core underpinnings of the futures industry—that customer segregated funds would remain segregated from the rest of the capital in a futures commission merchant (FCM) so that it would not be at risk even if the FCM itself failed.
Remarks of Acting Chairman J. Christopher Giancarlo before the International Swaps and Derivatives Association 32nd Annual Meeting in Lisbon, Portugal: Changing Swaps Trading Liquidity, Market Fragmentation and Regulatory Comity in Post-Reform Global Swaps Markets
The head of the U.S. House of Representatives' banking panel has unveiled the Republicans' most ambitious plan so far to loosen financial regulations, a 600-page bill to replace the Dodd-Frank financial reform law.
President Donald Trump told a group of chief executives on Tuesday that his administration was revamping the Wall Street reform law known as Dodd-Frank and might eliminate the rules and replace them with "something else."
Bank lobbyists who opened the Trump era with great expectations for sweeping regulatory reform are privately striking an increasingly dismal tone as hopes for a quick and thorough rewrite of Dodd-Frank legislation dim.
The German Finance Ministry is concerned about an order last week issued by U.S. President Donald Trump to review major banking rules that were put in place after the 2008 financial crisis, a senior government source said on Thursday.
FIA president and CEO Walt Lukken sent an open letter to President Trump and key congressional and regulatory leaders calling for a comprehensive review of all financial reform regulation. The letter notes that after the financial crisis, the Dodd-Frank Act has generated more than 22,000 pages of regulations and fundamentally changed the regulatory structure of financial markets.
One thing I have noticed over the years is when there is a crisis, it’s a really bad time to pass sweeping legislation. The momentum and justification for legislation comes from fear. “We don’t want that to happen again”, supporters say. For example, 9/11 happens and we get the Department of Homeland Security which is mostly a waste of money and allows the government to pry into all kinds of places it shouldn’t.
Last month's spike in failed trades in Wall Street's key funding market sparked fears that it could be a sign of trouble brewing in the U.S. financial system, but the disruptions appear more likely to mark the "new normal" of the post-crisis era.