Comments on: Bill Gross: New Regulation Will Lower Investment Bank Profits http://www.nakedcapitalism.com/2008/03/bill-gross-new-regulation-will-lower.html Mon, 23 Nov 2009 05:40:52 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Anonymous http://www.nakedcapitalism.com/2008/03/bill-gross-new-regulation-will-lower.html#comment-6156 Anonymous Mon, 31 Mar 2008 23:24:00 +0000 http://www.nakedcapitalism.com/2008/03/bill-gross-new-regulation-will-lower-investment-bank-profits/#comment-6156 It seems like the source of credit crunches historically is increased leverage. Why doesn't the system create disincentives for leverage?<br/><br/>In addition, size does matter with respect to "too large to fail" and moral hazard. Why not create disincentives on size. It seems like the source of credit crunches historically is increased leverage. Why doesn’t the system create disincentives for leverage?

In addition, size does matter with respect to “too large to fail” and moral hazard. Why not create disincentives on size.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/03/bill-gross-new-regulation-will-lower.html#comment-6150 Anonymous Mon, 31 Mar 2008 20:39:00 +0000 http://www.nakedcapitalism.com/2008/03/bill-gross-new-regulation-will-lower-investment-bank-profits/#comment-6150 In addition to the above, also worth noting the great reason for FEMA being shuffled under a different pea after it dropped the ball with Katrina! Same deal here, as you have a system filled with nepotism and idiots that thrive on chaos, so why not mix it up and give them more money to do far less; what would it matter? In addition to the above, also worth noting the great reason for FEMA being shuffled under a different pea after it dropped the ball with Katrina! Same deal here, as you have a system filled with nepotism and idiots that thrive on chaos, so why not mix it up and give them more money to do far less; what would it matter?

]]> By: Anonymous http://www.nakedcapitalism.com/2008/03/bill-gross-new-regulation-will-lower.html#comment-6149 Anonymous Mon, 31 Mar 2008 20:36:00 +0000 http://www.nakedcapitalism.com/2008/03/bill-gross-new-regulation-will-lower-investment-bank-profits/#comment-6149 Gross works for a shadow banking conduit, he is full of crap!<br/><br/>Also see: "This isn't going to create a new role for the Fed as some sort of panacea to eliminate what is characterized as systemic risk," said Michael Zuppone, chair of the securities and capital markets practice at international law firm Paul Hastings.<br/><br/>He said the current proposal is almost like "creating a homeland security department for the financial services sector." President Bush created the agency after the terrorist attacks of 2001 by consolidating a number separate security agencies.<br/><br/>The government's proposal for bank oversight will also string together different agencies. For instance, the plan proposes the merger of the Commodity Futures Trading Commission and the Securities and Exchange Commission _ blending them to monitor U.S. futures, commodities, and equities markets.<br/><br/>CFTC acting Chairman Walt Lukken said in a statement that the differences between the two agencies are not accidental, and that trying to "homogenize the two regulatory regimes is certain to cause more harm than good." Gross works for a shadow banking conduit, he is full of crap!

Also see: “This isn’t going to create a new role for the Fed as some sort of panacea to eliminate what is characterized as systemic risk,” said Michael Zuppone, chair of the securities and capital markets practice at international law firm Paul Hastings.

He said the current proposal is almost like “creating a homeland security department for the financial services sector.” President Bush created the agency after the terrorist attacks of 2001 by consolidating a number separate security agencies.

The government’s proposal for bank oversight will also string together different agencies. For instance, the plan proposes the merger of the Commodity Futures Trading Commission and the Securities and Exchange Commission _ blending them to monitor U.S. futures, commodities, and equities markets.

CFTC acting Chairman Walt Lukken said in a statement that the differences between the two agencies are not accidental, and that trying to “homogenize the two regulatory regimes is certain to cause more harm than good.”

]]>