Bankers want to kill “Volcker Rule”
The proposal was approved by the Fed’s governors on a 4-1 vote, with Fed Chairman Jerome Powell supporting the change.
The changes would allow banks to invest in riskier credit funds, which pool money to provide long-term loans.
“Some credit funds played a material role in the financial crisis,” Brainard said. “These funds were not transparent in their activities, misled investors, and contributed to the financial abuses Congress intended to address” with its post-crisis regulatory reforms.
The proposal was drafted jointly with four other regulatory agencies and will be open to public comment until April 1.
Federal Reserve Board asks for comment on proposed rule to simplify and tailor compliance requirements relating to the “Volcker rule”
https://www.federalreserve.gov/newsevents/pressreleases/bcreg20180530a.htm
Media Contacts:
https://www.fdic.gov/regulations/laws/federal/2018/2018-proposed-revisions-to-prohibitions-proprietary-trading-3064-ae67-c-003.pdf
https://apnews.com/aed534c141d5939eff18cea5521967f2
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