Though the Dodd-Frank Wall Street reform act was passed way back 2010, much of the law remains to be implemented. One reason for the lag between passage of laws and their implementation is that when federal agencies propose new regulations, they are required to first seek public comment.
Monday was the final day that federal regulators were accepting comments on the so-called Volcker Rule, a regulation, first proposed by former Federal Reserve Chairman Paul Volcker, which bans federally-supported banks from making financial bets with their own capital.
Over the past several months, banks and other financial institutions have come out against the rule, claiming it would make financial markets less liquid, and American banks less competitive.
Volcker came to the rule’s defense yesterday, submitting an eight-page letter to federal regulators.