Basal III Endgame.

[frayne]

Read an article last week in the Economist about Basal III and the proposed regulations for raising capital requirements for banks by 16% and the possible fallout. Anyone else following this and have any thoughts, good or bad as well as ways to play this from an investment standpoint?

Link below is a short article about what some are calling the Basal III endgame.

https://www.ey.com/en_us/banking-capital-markets/basel-iii-endgame-what-you-need-to-know

 

[Spock]

This has been on "alternative news sites" for almost a year.
Suddenly. In the last 24 hours. The news is full of stories walking it back: "U.S. regulators are expected to significantly reduce the extra capital banks must hold under a proposed rule that has drawn aggressive pushback from Wall Street, said eight industry executives in regular contact with the agencies and regulatory officials."

 

[MichaelB]

I doubt it will be the endgame. The one thing we can always count on is banks finding new ways to get into trouble and needing a bailout. This Basil accord is designed to help with that by raising capital requirements.

IMHO it doesn’t go nearly far enough.

 

[Spock]

... The one thing we can always count on is banks finding new ways to get into trouble and needing a bailout. ...

Google "synthetic risk transfer"... the "new" mechanism for banks to keep doing what they're doing while spinning of the risk to others.

 

[USGrant1962]

I thought this thread was going to be about someone dying of skin cancer.

 

[FLSUnFIRE]

I thought this thread was going to be about someone dying of skin cancer.

Clickbait! I fell for it too.

 

[OldShooter]

I pay zero attention to this kind of stuff. I have no control over what is happening and the information is not actionable.