WSJ Features OpEd on the Volcker Rule by Alliance Board member Bair and SVP Vasisht
On September 9, The Wall Street Journal published an opinion piece penned by former FDIC Chair and Volcker Alliance Board Member Sheila Bair and Volcker Alliance Senior Vice President and Director of Financial Regulation Gaurav Vasisht. The piece responds to the proposed ‘simplification’ of the Volcker Rule and emphasizes the need for transparency.
"A group of federal regulatory agencies have proposed a nearly 400-page “simplification” to the Volcker rule, the reform passed after the 2008 crash to curb risky financial activities. Part of the Dodd-Frank Act, the Volcker rule prohibits commercial banks, which are ultimately backed by taxpayers, from engaging in certain speculative trading activity. It also restricts their ability to invest in hedge funds or private-equity funds. The rule helps reduce moral hazard, decrease conflicts of interest between banks and their customers, and foster stability in the financial system...."
