The European Tribune is a forum for thoughtful dialogue of European and international issues. You are invited to post comments and your own articles.
Please REGISTER to post.
The regulator "did not sufficiently assess the susceptibility of highly illiquid, complex instruments," to ratings downgrades, Scott Polakoff told the banking committee in prepared testimony today. "In hindsight, OTS should have directed the company to stop originating credit-default swap products before December 2005."
Are you seriously going to argue in a sober voice that the Commodities Futures Modernization Act did not matter to AIG's failure?
Would you also have argued that if it had passed in 2001 instead of 2000?
Friends come and go. Enemies accumulate.
Keep on dreaming.
Are you claiming the OTS would have had better luck under a Gore presidency than the CFTC had under the Clinton presidency? If so, on what grounds?
Even Clinton says derivatives dereg was a mistake.
Even Rubin admits he was wrong although in his typically self-serving way
While some people saw one or more of these factors, virtually no one involved in the financial system--whether institutions, investors, regulators, analysts, or commentators--recognized the breadth of forces at work or the possibility of a megacrisis, and this included the most experienced among us. More personally, I regret that I, too, didn't see the potential for such extreme conditions despite my many years involved in financial matters and my concern for market excesses.
by Frank Schnittger - Aug 16 7 comments
by Frank Schnittger - Aug 8 44 comments
by Frank Schnittger - Aug 9 16 comments
by Helen - Aug 2 15 comments
by Oui - Aug 6 22 comments
by Frank Schnittger - Jul 17 147 comments
by Frank Schnittger - Jul 29 93 comments
by Cat - Aug 2 14 comments
by Frank Schnittger - Aug 167 comments
by Frank Schnittger - Aug 916 comments
by Frank Schnittger - Aug 844 comments
by Oui - Aug 622 comments
by Cat - Aug 214 comments
by Helen - Aug 215 comments
by Frank Schnittger - Jul 2993 comments
by Oui - Jul 265 comments
by Frank Schnittger - Jul 17147 comments