Are IOUs securities?

July 9, 2009

That’s the question lots of folks are asking as they try to figure out how to potentially make money from the billions of dollars in IOUs being sent out by California this month.

Stanford gets Madoffed

June 30, 2009

It appears the punishing 150-year sentence meted out by a federal judge to Ponzi king Bernie Madoff is already having legal reprecussions.

Your new consumer watchdog

June 30, 2009

The Obama administration just released draft legislation for its newly proposed Consumer Financial Protection Agency. The 152-bill would create a five-member commission with the power to make rules and issue subpoenas. 

How to restore trust in money market funds

June 29, 2009

If the idea of having precious cash tied up brings back dark memories of the sudden clamping down of billions of dollars of funds during the credit crisis, you’re not alone.

Scoring investment risk

June 29, 2009

The Bank for International Settlements is thinking the right way in calling for a global standard of ranking financial instruments based on their risk and suitability for different kinds of investors.

Reforming money markets – it’s about time

June 25, 2009

The New York Times has a nice piece on SEC musings on money market reform given the run on this $3.7 trillion market after Lehman Brothers’ spectacular failure. It’s about time considering how vulnerable these funds became to market excesses during the boom. But it doesn’t look like the proposed reforms go far enough considering that most people park their money there so they can get it out quickly if needed.

Short selling and the SEC

June 23, 2009

The subject of short selling can always be counted on to generate a lot of heat. And a proposed Securities and Exchange Commission rule that would put limits on the ability to short a stock–especially in a severe market downturn–is no different.

New US consumer body needs broad mandate

June 22, 2009

Securities regulators are famous for fighting the last war and not paying enough attention to the newest financial products that Wall Street banks are pushing.

Catch of the day

June 19, 2009

R. Allen Stanford’s indictment for his role in masterminding the second-largest Ponzi scheme ever was never in doubt, after the Securities and Exchange Commission charged him with civil fraud in February. But that’s not stopping the SEC and federal prosecutors from holding a Texas-sized shindig to trumpet their big get.

Obama loves hedge funds

June 17, 2009

Matthew GoldsteinThe big winner in the Obama administration’s financial regulatory reform package is the beaten-up hedge fund industry.