The Corker-Warner bill would require private investors to take 10% of losses before federal mortgage guarantees kick in. More research is needed to determine whether thats enough protection for taxpayers.
Law professor Saule T. Omarova is suggesting regulators require pre-market approval for complex financial instruments like derivatives to curb systemic risk in global markets. How effective would such a program be?
Banks' defense against litigation over the sale of bad mortgage-backed securities to Fannie and Freddie hinges on the unseemly idea that it is unreasonable to assume that the world's largest banks would comply with the Securities Act of 1933.
Let's be cautious about scrapping the Camels rating system without fully understanding why it supposedly failed. Any human endeavor is prone to failure, as any system is subject to improvement.
For all their analytic complexity, the Basel capital standards simplemindedly view each type of risk in isolation. In reality, an increase in one type of risk may lower another.
Following ample debate over whether JPMorgan Chases CEO should lose his chairman title, theres no clear indication of how Tuesdays shareholder vote will play out.
The Chairman/CEO split issue is a sideshow. No one has considered the troubling implications of a large, crazy, lucky bet the London Whale made the year before his infamous money-losing trades.
