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Between the Hedges: Wednesday Watch
FT Alphaville: Draft law aims to give Fed powers of direct intervention
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http://www.ft.com/cms/s/0/3ad532a4-c352-11de-8eca-00144feab49a.html Draft law regulation starting debate. 17 days ago |
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So much for End the Fed. http://bit.ly/y0jYk 10/28/2009 |
Wednesday Watch
Between the Hedges —
... . Financial Times: - The Federal Reserve could order a financial institution to sell a risky division or stop dangerous trading activity if the central bank determined there was a threat to the US financial system, under a draft law released on Tuesday. The landmark bill drawn up by the Treasury and the House financial services committee sets up a council of regulators charged with snuffing out systemic risks and gives the government and the Fed sweeping powers over financial companies at home and overseas. The Fed would require systemically significant ...
Draft law aims to give Fed powers of direct intervention
FT Alphaville —
The Federal Reserve could order a financial institution to sell a risky division or stop dangerous trading activity if the central bank determined there was a threat to the US financial system, under a draft law released on Tuesday. The landmark bill, drawn up by the Treasury and the House financial services committee, aims to establish a council of regulators charged with snuffing out systemic risks. Powers would extend to foreign groups with large or risky US subsidiaries. So-called “heightened prudential standards” would include leverage limits, liquidity rules and the ...
Words from the Investment Wise 11.1.09
The Big Picture —
... firms, to terminate one or more activities, or to impose conditions on the manner in which the identified financial holding company conducts one or more activities’.
“If that does not save a company, the government could seize it and force rival banks that have more than $10 billion in assets to repay any taxpayer money used to seize or wind up their competitor.”
Source: Tom Braithwaite, Saskia Scholtes, Aline van Duyn and Francesco Guerrera, Financial Times, October 28, 2009.
Financial Times: Fed chief warns banks on ...
