Actionable news
All posts from Actionable news
Actionable news in GS: GOLDMAN SACHS GROUP Inc,

The 'Fire Sale' Fears Driving Big Banks' Push to Delay Volcker Rule

Goldman Sachs (GS) , Morgan Stanley (MS) and other Wall Street firms are asking federal regulators for a five-year extension on selling billions of dollars in investments banned under post-financial crisis reforms because the markets for them aren't liquid.

The holdings are covered by the Volcker rule, a provision of the Dodd-Frank Act best known for its ban on proprietary trading, that also bars federally insured banks from owning and making significant investments in private equity and hedge funds. Passed in 2010, the legislation is a pivotal part of Congressional efforts to prevent a recurrence of the 2008 crisis, when the government poured billions of dollars into financial institutions to prevent...