Too Big To Fail in the Dodd-Frank Era
In Short: The Situation: After the nationalization of the Dutch SNS banking and insurance group, the Dutch Minister of Finance offered zero compensation to expropriated bondholders....more
PM Theresa May’s call for a snap election looked a lot better a few weeks ago than it does on the morning after. But regardless of the outcome (hung parliament, anyone?), the pound sterling sure took it on the chin....more
Its recent debt sale was enough to score Italy’s Monte dei Paschi a government bailout, one of the first since the 2008 crisis and a test case for the ECB’s new bank bailout rules....more
President Trump has signed an executive order titled “Presidential Executive Order on Core Principles for Regulating the United States Financial System.“ The “Core Principles” are...more
On September 13th, the House Financial Services Committee approved the Financial CHOICE Act of 2016 to repeal and replace key parts of the 2010 Dodd-Frank law by a largely partisan vote of 30 to 26. Democrats declined to...more
Well-meaning initiatives to end the era of US bailouts have also dried-up market liquidity. That could be almost as dangerous - Banks perform critical functions in our economy, one of which is maturity transformation....more
On June 7, in a speech to the Economic Club of New York, House Financial Services Committee Chairman Jeb Hensarling announced the Republican plan to replace the Dodd-Frank Act. The Financial Creating Hope and Opportunity for...more
In This Issue: IN THE SPOTLIGHT - - Your Data Breach Collided With My Personal Injury Coverage LIFE INSURANCE - - Phantom Injury Dooms “Shadow Insurance” Case - Latest NAIC Cybersecurity News ...more
The Court of Federal Claims recently held that the coercive terms of the government’s $85 billion bailout of AIG were illegal. The victory, however, was merely a moral one because plaintiffs walked away with a $0 damage...more
Long before taxpayer-sponsored bailouts or state-sponsored “resolutions” of financial institutions came to occupy such a prominent place in our collective consciousness, financial institutions relied on hybrid capital...more