After watching the CNBC interview with President Obama, it's an obvious fact that Wall Street will face a regulation overhaul. It make sense for the financial systems to go through some type of reform because the system we have now is vulnerable to systemic risk. There are many hedge funds, and financial institutions that have access to leverage on a scale one can only question. I mean does it really make sense for a $10 Billion hedge fund to the ability to leverage $40 for every $1? This has always been the problem and the cause for many of the market meltdowns. It happen during the crash of '29, crash of '87,.... Read Entire Article Here!
Monday, September 14, 2009
Obama and Wall Street Regulation
After watching the CNBC interview with President Obama, it's an obvious fact that Wall Street will face a regulation overhaul. It make sense for the financial systems to go through some type of reform because the system we have now is vulnerable to systemic risk. There are many hedge funds, and financial institutions that have access to leverage on a scale one can only question. I mean does it really make sense for a $10 Billion hedge fund to the ability to leverage $40 for every $1? This has always been the problem and the cause for many of the market meltdowns. It happen during the crash of '29, crash of '87,.... Read Entire Article Here!
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