The Securities and Exchange Commission is considering giving insurers a broad exemption from the Volcker Rule, that section of the Dodd-Frank Wall Street Reform and Consumer Protection Act which restricts financial institutions from engaging in certain kinds of speculative investing. The rule is scheduled to be implemented on July 21, 2012.
In answering a question at a House Appropriations Committee subcommittee hearing yesterday, SEC chairman Mary Schapiro said the agency is considering exempting insurer activity in covered funds as well as investments in their general account from the Volcker rule.
The hearing was held by the Financial Services and General Government Subcommittee of the House Appropriations Committee.
Rep. Jo-Ann Emerson (R-Mo.) heads the subcommittee.
Schapiro’s comment was made in response to a question from Rep. Rodney Alexander (R-La.).