Many national leaders, such as those at the G20 meetings, are advocating global regulation of the financial services industry. I am not convinced.
Much of the buildup to the current crisis happened in plain view – housing bubbles in the US, UK and Spain, mortgage lending insanity like 125%mortgages, soaring volumes in complex derivatives with immeasurable [...]
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In Sunday’s New York Times, Eric Dash and Julie Creswell take apart the failed risk management practices at Citigroup in a detailed article that draws on extensive comments from bank insiders.
Much of the cause will be no surprise – traders overpowered the risk managers, a senior risk manager was good friends with the guy who [...]
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Strange as it may seem to outsiders, the insurance industry in the US is regulated state-by-state, a nightmare for Canadian and European companies trying to break into the market, and no fun for consumers who move around and have to change companies each time.
Then there is the little issue of whether state regulators can ever [...]
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I wrote a piece about green banking that appears in the latest issue of Banking Technology. It includes steps being taken by Citi and Bank of America, among others.
So I was amused the other day to get a paper statement from BoA telling me I had a zero balance in my line of credit. And I had [...]
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What will the next administration do? Financial Insights ventures some predictions.
“Financial Insights expects more legislation to protect consumers, incentives to reduce off-shoring, federal regulation of the insurance industry, more bank failures, and streamlining of
banking regulatory agencies.”
“Changes that will result likely include reform of mortgage origination practices, limitations on exotic investment instruments, the absorption of the [...]
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Investment analysts are all over the map on whether the market downturn has nearly reached a bottom or whether a much deeper bottom is waiting, and it could be several years away.
The problems are varied, but many stem from inadequate regulation. Lawrence Cohen QC, a member of the Chancery Bar Association in the UK, cites [...]
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