A US Federal Reserve advisory panel voiced displeasure that the Volcker rule proposal to simplify current requirements includes an “accounting prong” that would expand prohibitions on proprietary trading to encompass derivatives.
The 12-member bankers committee met with the Fed to also complain about a section that “does not go far enough in meaningfully tailoring” requirements to banks that hold moderate amounts of trading assets and liabilities, a record of the meeting shows.
The blowback from CEOs of some leading banks shows that the May proposal from Trump-appointed regulators has not fully quieted industry concerns about the complexity and reach of a major section of the post-crisis Dodd-Frank Act.
US Volcker proposal includes 'accounting prong' that expands scope of rule, Fed panel complains
12 November 2018 10:46am