William Donaldson

SEC Implements Alternative Net Capital Rules for Major Investment Banks

2004-04-28 00:00:00 +0000 UTC | Importance: 9/10

The SEC voted to allow five major investment banks (Goldman Sachs, Morgan Stanley, Merrill Lynch, Lehman Brothers, and Bear Stearns) to use alternative net capital rules, effectively eliminating previous debt-to-net capital ratio limits. This voluntary program allowed banks to use their own internal …

Securities and Exchange Commission Christopher Cox William Donaldson Goldman Sachs Morgan Stanley +3 more regulatory-capture financial-crisis sec leverage wall-street +1 more

SEC Creates Consolidated Supervised Entities Program Allowing Unlimited Investment Bank Leverage

2004-04-28 00:00:00 +0000 UTC | Importance: 9/10

The SEC establishes the Consolidated Supervised Entities (CSE) program under Chair William Donaldson, eliminating the 12-to-1 leverage limit that had constrained broker-dealers and investment banks since 1975. The program allows firms with over $15 billion in assets—Bear Stearns, Lehman Brothers, …

SEC William Donaldson Bear Stearns Lehman Brothers Merrill Lynch +3 more sec-deregulation investment-bank-leverage cse-program systemic-risk self-regulation +1 more