[RoninLB]

i didn't read 15 pages



Opening bs
"Following is the executive summary of the Blueprint for Financial Regulatory Reform, a report from the Treasury Department on ways to improve oversight of the financial services sector:"

p15 Conclusion
"The United States has the strongest and most liquid capital markets in the world. This strength is due in no small part to the U.S. financial services industry regulatory structure, which promotes consumer protection and market stability. However, recent market developments have pressured this regulatory structure, revealing regulatory gaps and redundancies. These regulatory inefficiencies may serve to detract from U.S. capital markets competitiveness.

In order to ensure the United States maintains its preeminence in the global capital markets, Treasury sets forth the aforementioned recommendations to improve the regulatory structure governing financial institutions. Treasury has designed a path to move from the current functional regulatory approach to an objectives-based regulatory regime through a series of specific recommendations. The short-term recommendations focus on immediate reforms responding to the current events in the mortgage and credit markets. The intermediate recommendations focus on modernizing the current regulatory structure within the current functional system.

The short-term and intermediate recommendations will drive the evolution of the U.S. regulatory structure towards the optimal regulatory framework, an objectives-based regime directly linking the regulatory objectives of market stability regulation, prudential financial regulation, and business conduct regulation to the regulatory structure. Such a framework best promotes consumer protection and stable and innovative markets."





me
The Treasury Sec has done a lousy job for a very long time no matter which president imo. Why didn't Fed bank regulators respond to off balance sheet SIVs? Why didn't Treasury complain about Greenspan subsidizing interest rate costs by indirectly inflating the money supply? Real estate inflation has been wacking the economy as it travels throughout. Where is all this cash sitting on the sidelines going to travel to next? [hope it's the stock market]



my initial opinion is that the report addresses some market noise while using Treasury for investor political bs. The gin mills around Wall and Broad are probably humming with methods to get around any regulation that DC can dream up. If they change the rules so you can't win the answer is simple, just invent a new game.



all above a prejudicial rant