Sandy Weill Says Break up Big Banks

Since the financial crisis of 2008 a lot of attention has focused on the role that “too big to fail” banks played in the crisis. In fact, some of the key provisions of the Dodd-Frank reform measure, in particular the Volcker Rule, are aimed at addressing the too big to fail problem.  But some observers argue that the reforms don’t go far enough and big bank model needs to be structured. In the middle of this intellectual debate, one … [Read more...]

The Mystery of Dark Pools May Become Clear

Dark pools may seem dark, mysterious and maybe nefarious for those who don’t play on the Forex market. But as ominous as the term “dark pool” sounds, it’s really not as scary as it sounds.   And with regulatory changes of the Volcker rule on the horizon these “off exchange” transactions may become more transparent. Simply, dark pools are venues where trading is done off of an exchange to obtain price … [Read more...]

Will “too big to manage” banks be broken up?

The announcement of JPMorgan’s trading loss of more than $2 billion has renewed a call for more stringent oversight of Wall Street banks.     It inspired arguments that some global banks are “too big to manage.”   Besides the U.S. regulators struggling to oversee how big banks operate, JPMorgan’s executive team also seemed to face similar challenges.    Was it really a well-intended risk management or hedging that went … [Read more...]