Stephen Miran, President Trump’s nominee for the Federal Reserve Board, announced he intends to maintain his position as White House economic adviser if confirmed, taking unpaid leave rather than resigning. This arrangement is unprecedented in Federal Reserve history, where governors have …
Stephen MiranDonald TrumpFederal Reserve BoardWhite Houseinstitutional-capturefederal-reserve-independenceconflicts-of-interestregulatory-capture
The Federal Reserve announced comprehensive trading restrictions for senior officials following a major financial ethics scandal. In response to controversial trades by regional Fed bank presidents Robert Kaplan and Eric Rosengren during the Covid-19 pandemic, the Fed imposed strict new rules …
Jerome PowellFederal Reserve BoardElizabeth WarrenRichard ClaridaRobert Kaplan+1 morefederal-reserveethics-policytrading-restrictionsjerome-powellregulatory-response+4 more
Federal Reserve Vice Chairman Richard Clarida rotated between $1-5 million from Pimco bond funds into stock funds on February 27, 2020, just one day before Fed Chair Powell’s emergency statement about coronavirus risks. Clarida sold multiple ETFs during the market’s COVID-19 downturn and …
Richard ClaridaFederal Reserve BoardJerome PowellElizabeth Warrenfederal-reservetrading-scandalconflict-of-interestrichard-claridainsider-trading+2 more
Citicorp and Travelers Group announce a $70 billion merger creating Citigroup, directly violating Glass-Steagall Act provisions separating commercial banking from insurance and securities activities. The Federal Reserve provides conditional approval based on the expectation that Congress will repeal …
The Federal Reserve Board continues its incremental erosion of Glass-Steagall Act restrictions, approving expanded securities underwriting capabilities for JP Morgan & Co. Following a 3-2 vote in 1987 to ease regulations, the Fed systematically reinterprets Congressional banking separation laws. …
Federal Reserve BoardAlan GreenspanJP Morgan & Co.Morgan Stanleycorporate-stock-underwritingjp-morganmorgan-stanleyglass-steagall-violationregulatory-capture+1 more
The Federal Reserve Board dramatically expands Section 20 subsidiary powers, approving underwriting of corporate debt securities and increasing the revenue limit from bank-ineligible activities from 5% to 10%. This decision allows JP Morgan to become the first commercial bank to underwrite a …
Federal Reserve BoardJP Morgan & Co.Section 20 subsidiariessection-20-expansioncorporate-debt-underwritingjp-morganregulatory-captureglass-steagall-erosion
The Federal Reserve Board approved a pivotal regulatory decision allowing JP Morgan & Co., Citicorp, and Bankers Trust to establish Section 20 subsidiaries, marking a significant first breach in the Glass-Steagall Act’s separation of commercial and investment banking. The approval …
Federal Reserve BoardJP Morgan & Co.CiticorpBankers TrustPaul Volcker+1 moresection-20-subsidiariesglass-steagall-erosionfederal-reservesecurities-underwritingregulatory-approval+1 more
Large commercial banks launch a coordinated, multi-pronged campaign to systematically dismantle the Glass-Steagall Act’s financial regulations. This strategic effort involves regulatory capture through administrative reinterpretations, academic influence to discredit Depression-era banking …
Major commercial banksBanking lobbyistsFederal regulatorsAcademic economistsFederal Reserve Board+1 moreglass-steagallbanking-deregulationregulatory-capturefinancial-lobbyingnew-deal-reforms+2 more