Are the major banks undercapitalized under impending regulatory standards? One report says yes!
The Financial Times, citing work by Barclays Capital, says that the nation’s largest banks could fall short of capital requirements under the new Basel III regime by as much as $150 billion, “with 90 per cent of the shortfall concentrated Read More
America’s banks should get ready for a new sherrif to come to town. Federal Deposit Insurance Corp. head Sheila Bair should be hanging up her bank-regulating spurs come 2011.
So reports TheStreet.com:
“I’m going to serve out my term,” Bair, chairman of the Federal Deposit Insurance Corp., said at an industry conference. “I Read More
Gary Gensler, the chairman of the Commodity Futures Trading Commission, today described potential regulatory responses that would seek to prevent another market-shaking event like the May 6 flash crash, during which the Dow Jones Industrial Average lost nearly 1,000 points only to bounce back sharply within a roughly 20-minute span.
Gensler’s remarks follow Read More
The Securities and Exchange Commission is accusing two employees of the Boston bank State Street with fibbing to shareholder about the company’s subprime exposure.
The SEC says that ex-chief investment officer John P. Flannery and current head of product engineering for North America James D. Hopkins told clients that State Street’s Limited Duration Read More
Elizabeth Warren said in a speech yesterday that stepped-up bank regulation she’s helping implement will be good for banks and consumers alike. Warren, Barack Obama’s designated advisor to the development of the new Consumer Financial Protection Bureau, said that many Americans view banks with extreme suspicion, and that increased transparency will remedy banks’ Read More
Elizabeth Warren, the kinda-sorta head of the new Consumer Financial Protection Bureau, said on CNN today that she’s been meeting with banking-industry types, and that the talks have been going rather smoothly.
This is perhaps a little surprising, given that Warren has advocated breaking up too-big-to-fail banks, subjecting them to more scrutiny, Read More
Securities and Exchange Commission enforcement director Robert Khuzami today said that his agency has made great improvements since allegedly screwing the pooch when investigating suspected Ponzi schemer Allen Stanford.
Khuzami said that his agency is “also vigorously pursuing its case against Stanford and the others charged in this massive Ponzi scheme.” He pointed Read More
In a hearing before the Senate Banking Committee today, Securities and Exchange Commission Inspector General David Kotz gave lawmakers an earful about the SEC’s handling of the alleged $7 billion Ponzi scheme run by Allen Stanford.
According to Kotz’s report, which was released in April, the Fort Worth office of the SEC examined Stanford four Read More
In the past, there’s been some chafing between Treasury Secretary Tim Geithner and Elizabeth Warren, the new pseudo-head of the Consumer Financial Protection Bureau. Now that the pair of financial regulators are being asked to shed their animosity and work together to create a bank regulator with a $400 million budget. We’ll get a Read More