Section 619 of Dodd-Frank is, once again, being delayed.
Remember not long ago Congress was looking at weakening consumer protection provisions of Dodd-Frank, which closely associates with the push-out or Volcker rule.
Section 619 has to do with derivatives contracts and how they are used to “make markets” perform “more efficiently.” The last financial crisis proved the efficiency factor to be a process of shifting all the risk to non-market participants.
People are involved with derivatives indirectly, by credit extension, but not directly involved with managing its efficiency on demand. Instead, the “takers” (99.9% of people) took all the risk with losses so big they lost significant amounts, if not all, of their net worth while TBTF bankers got big bonuses for doing such a “great” (recessionary) job that keeps paying dividends.
In terms of the naturally limited liability, what is the retributive value that extends to the expected event horizon described as the fully assumed risk of loss, existing now, on demand, in derivatives markets, making it necessary to push the push-out rule forward in time?
Could it be the profit potential!
Greed is good, especially operating with limited liability (like the king), right?