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n2doc

(47,953 posts) Mon Nov 10, 2014, 08:30 AM Nov 2014

'Too big to fail' bank rules unveiled by global regulators

The rules, created by the Financial Stability Board (FSB), a global regulator, will require big banks to hold much more money against losses.

Mark Carney, FSB chairman and governor of the Bank of England, said the plans were a "watershed" moment.

He said it had been "totally unfair" for taxpayers to bail out banks after the financial crisis of 2008 and 2009.

"The banks and their shareholders and their creditors got the benefit when things went well," he told the BBC.

Mr Carney explained that the new system would ensure that bank shareholders, and lenders to banks such as bondholders, would become first in line to bear the brunt of future losses if banks could not pay out of their own resources.

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http://www.bbc.com/news/business-29982181

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'Too big to fail' bank rules unveiled by global regulators (Original Post) n2doc Nov 2014 OP

What he said needs to be parsed out very carefully. dixiegrrrrl Nov 2014 #1

dixiegrrrrl

(60,010 posts)

1. What he said needs to be parsed out very carefully.

Reply to n2doc (Original post)

Mon Nov 10, 2014, 09:48 AM

Nov 2014

He minimizes illegal behavior by the banks, calling it "unfair".

Since the meltdown, Gov'ts have come up with several schemes which promised taxpayers a solution to banking problems, and those schemes have not actually helped anyone but the banks, because it was the bankers who helped the Gov. write the schemes.

Know this about Carney's reference to the Financial Stability Board (FSB), a global regulator:
the Financial Stability Board (FSB) is, a group of central bankers and financial policy makers.
And Mark Carney, the governor of the Bank of England, is chairman of the FSB.

So what the story is saying:
We the Bankers have gotten so much flak from the taxpayers that we have look as if we are doing something,
so WE will create another bank owned regulatory system, for us and by us, answerable TO us.

and, btw,

The proposed new rules, which are up for consultation and should take effect in 2019

SHOULD take effect 5 years in the future, once all "consultation" has been agreed to.

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