In a related story, the Securities Industry and Financial Markets Association gave its preliminary reaction to Paulson's regulatory reform plan. It's not quite what we expected. But then again, it's probably best not to upset regulators in the current political climate.
"Treasury has delivered a thoughtful and sweeping plan which should provoke intense discussion, debate and potential legislative changes," says Tim Ryan, president and CEO of SIFMA. "Our present regulatory framework was born of Depression era events and is not well suited for today's environment where billions of dollars race across the globe with the click of a mouse. That fact, teamed with the current market conditions, results in a universal agreement that it is time to modernize and revitalize the current system. Treasury's three step approach is very wise because it allows time for serious analysis, discussion and important choices."
For more information, visit www.sifma.org.