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Full-Text Articles in Law

The Dean Rusk Award 1983-1984: The Export Trading Company Act Of 1982: Theory And Application, Mark Grambergs Mar 2015

The Dean Rusk Award 1983-1984: The Export Trading Company Act Of 1982: Theory And Application, Mark Grambergs

Georgia Journal of International & Comparative Law

No abstract provided.


The Volcker Rule And Evolving Financial Markets, Charles K. Whitehead Feb 2015

The Volcker Rule And Evolving Financial Markets, Charles K. Whitehead

Charles K Whitehead

The Volcker Rule prohibits proprietary trading by banking entities - in effect, reintroducing to the financial markets a substantial portion of the Glass-Steagall Act’s static divide between banks and securities firms. This Article argues that the Glass-Steagall model is a fixture of the past - a financial Maginot Line within an evolving financial system. To be effective, new financial regulation must reflect new relationships in the marketplace. For the Volcker Rule, those relationships include a growing reliance by banks on new market participants to conduct traditional banking functions. Proprietary trading has moved to less-regulated businesses, in many cases, to hedge funds ...


The Reasons For The Gramm-Leach-Bliley Act, Raymond Natter Apr 2014

The Reasons For The Gramm-Leach-Bliley Act, Raymond Natter

Raymond Natter

One of the most repeated allegations about the financial crisis is that the passage of the Gramm-Leach-Bliley Act (GLBA) that repealed two sections of the Glass-Steagall Act in 1999 was a significant contributing factor in the subprime mortgage meltdown. However, these allegations never specify the exact link between GLBA and the crisis. The reason is that there is no readily apparent link between the two events. Simply put, the provisions of the Glass-Steagall Act that were repealed by GLBA did not prohibit the origination of subprime mortgage loans, to the securitization of mortgage loans, or to the purchase of mortgage-backed ...


Narrow Banking As A Structural Remedy For The Problem Of Systemic Risk: A Comment On Professor Schwarcz's Ring-Fencing, Arthur E. Wilmarth Jr. Jan 2014

Narrow Banking As A Structural Remedy For The Problem Of Systemic Risk: A Comment On Professor Schwarcz's Ring-Fencing, Arthur E. Wilmarth Jr.

GW Law Faculty Publications & Other Works

In a recent article, Professor Steven Schwarcz describes the concept of "ring-fencing" as a "potential regulatory solution to problems in banking, finance, public utilities, and insurance." Ring-fencing has gained particular prominence in recent years as a strategy for limiting the systemic risk of large financial conglomerates (also known as "universal banks"). Professor Schwarcz’s article describes several ring-fencing plans that have been adopted or proposed in the United States, the United Kingdom, and the European Union.

This Comment argues that "narrow banking" is a highly promising ring-fencing remedy for the risks created by universal banks. As the Comment explains, narrow ...


The Volcker Rule And Evolving Financial Markets, Charles K. Whitehead Apr 2011

The Volcker Rule And Evolving Financial Markets, Charles K. Whitehead

Cornell Law Faculty Publications

The Volcker Rule prohibits proprietary trading by banking entities - in effect, reintroducing to the financial markets a substantial portion of the Glass-Steagall Act’s static divide between banks and securities firms. This Article argues that the Glass-Steagall model is a fixture of the past - a financial Maginot Line within an evolving financial system. To be effective, new financial regulation must reflect new relationships in the marketplace. For the Volcker Rule, those relationships include a growing reliance by banks on new market participants to conduct traditional banking functions.

Proprietary trading has moved to less-regulated businesses, in many cases, to hedge funds ...


Accountants Make Miserable Policemen: Rethinking The Federal Securities Laws, Jerry W. Markham Jan 2003

Accountants Make Miserable Policemen: Rethinking The Federal Securities Laws, Jerry W. Markham

Faculty Publications

This Article describes the background of the federal securities laws and the assumptions about full disclosure that where made to justify the intrusive legislation. It also considers the problems encountered by the SEC in the nearly seven decades that have passed since the Stock Market Crash of 1929 and then reviews the market meltdown over the last three years and describes how full disclosure regulation failed. Finally, the author focuses on a principal flaw in the system – the misguided effort to turn accountants into policeman.


The New Policy Agenda For Financial Services, Richard S. Carnell Jan 2001

The New Policy Agenda For Financial Services, Richard S. Carnell

Fordham Journal of Corporate & Financial Law

No abstract provided.


Financial Modernization: The Effect Of The Repeal Of The Glass-Steagall Act On Consumers And Communities, Richard D. Marsico Jan 2001

Financial Modernization: The Effect Of The Repeal Of The Glass-Steagall Act On Consumers And Communities, Richard D. Marsico

Articles & Chapters

No abstract provided.


Banking Regulation: Its History And Future, Jerry W. Markham Jan 2000

Banking Regulation: Its History And Future, Jerry W. Markham

Faculty Publications

This article traces the history of the growth and regulation of banking services in the United States. That history will show how the existing regulatory structure was developed in response to demands of the Civil War and a populist crusade against the “money trust.” That effort reached its zenith with the New Deal legislation of the 1930s, but began to fall apart as financial services consolidated. The article will then show how the financial services industries (banking, insurance, securities and derivatives) began to merge in their product base while at the same time separating on a fault line between institutional ...


The International Symposium On Derivatives And Risk Management, Carl Felsenfeld, Alan N. Rechtschaffen, Carolyn H. Jackson, Ruth W. Ainslie, Michael N. Brosnan, Darcy Bradbury, Denis M. Forster, Martin Bienenstock, David A.P. Brower, Aaron Rubinstein, David Morris, Eric Seiler, Peter D. Morgenstern, Michael J. Malone, John Lovi, Alvin K. Hellerstein, Charles E. Ramos Jan 2000

The International Symposium On Derivatives And Risk Management, Carl Felsenfeld, Alan N. Rechtschaffen, Carolyn H. Jackson, Ruth W. Ainslie, Michael N. Brosnan, Darcy Bradbury, Denis M. Forster, Martin Bienenstock, David A.P. Brower, Aaron Rubinstein, David Morris, Eric Seiler, Peter D. Morgenstern, Michael J. Malone, John Lovi, Alvin K. Hellerstein, Charles E. Ramos

Fordham Journal of Corporate & Financial Law

No abstract provided.


Laws Governing Bank Securities Activities In The United States, Hanning Zhang Jan 2000

Laws Governing Bank Securities Activities In The United States, Hanning Zhang

LLM Theses and Essays

This thesis analyzes the previous regulatory approach to bank investment activities in the United States and its effects on the banking industry, discusses regulatory changes that expanded banking powers, reviews the new legislation and potential problems in the current movement of financial reform, and suggests some solutions. Chapter II reviews previous statutory regimes on bank securities activities, including those separating traditional and investment banking under the Glass-Steagall Act and Bank Holding Company Act. The regulatory regime under the E.U. banking system is addressed to give an example of successful deregulation, by which universal banks may fully enjoy the rapid ...


Analysis Of The U.S. Regulations Of Derivatives: Does The Use Of Such Complicated Instruments Pose A Serious Threat To The Safety And Soundness Of The U.S. Banking System?, Erwin De Deyn Jan 1996

Analysis Of The U.S. Regulations Of Derivatives: Does The Use Of Such Complicated Instruments Pose A Serious Threat To The Safety And Soundness Of The U.S. Banking System?, Erwin De Deyn

LLM Theses and Essays

In the last fifteen years, the globalization of financial markets and institutions along with innovative investment strategies have caused an irreversible revolution in the world’s financial markets. Investors and managers can now use new instruments, such as derivatives, for guarding against financial risks. Derivatives are financial instruments whose returns are derived from other assets or variables, like futures and options. The growth of derivative markets has accelerated rapidly in the last ten years, which has caused financial markets in the United States and throughout the world to be more efficient, which contributes to economic welfare. However, the dramatic growth ...


Leveling The Playing Field: The Need For Investor Protection For Bank Sales Of Loan Participations, Richard Y. Roberts, Randall W. Quinn Jan 1995

Leveling The Playing Field: The Need For Investor Protection For Bank Sales Of Loan Participations, Richard Y. Roberts, Randall W. Quinn

Fordham Law Review

No abstract provided.


Laws Separating Commercial Banking And Securities Activities As An Impediment To Free Trade In Financial Services: A Comparative Study Of Competitiveness In The International Market For Financial Services, Sarah A. Wagman Jan 1994

Laws Separating Commercial Banking And Securities Activities As An Impediment To Free Trade In Financial Services: A Comparative Study Of Competitiveness In The International Market For Financial Services, Sarah A. Wagman

Michigan Journal of International Law

By comparing U.S., Japanese, and European institutions' competitiveness in the international market for financial services, this Note focuses on the possible implications of the Glass-Steagall Act in the international trade context as a means of exploring some of the additional arguments which have emerged in favor of reforming U.S. bank regulation.


Statutory Obsolescence And The Judicial Process: The Revisionist Role Of The Courts In Federal Banking Regulation, Donald C. Langevoort Feb 1987

Statutory Obsolescence And The Judicial Process: The Revisionist Role Of The Courts In Federal Banking Regulation, Donald C. Langevoort

Michigan Law Review

What do - or should - courts do when asked to interpret an apparently "obsolete" statute? This question is an important one half a century or more after the enactment of much of the fundamental federal legislation in such fields of economic regulation as labor, communications, antitrust, securities, and - the subject of this study banking. For a variety of reasons, including political inertia and special interest pressure, many of these statutes remain substantially unchanged even though the assumptions about marketplace structure and conditions that formed the basis for the legislation have long since ceased to hold true.


Bankers Trust Ii: Underwriting, Commercial Paper Placement, And The Risk Of Loss Under The Glass-Steagall Act, Richard Douglas Martin Jan 1987

Bankers Trust Ii: Underwriting, Commercial Paper Placement, And The Risk Of Loss Under The Glass-Steagall Act, Richard Douglas Martin

Kentucky Law Journal

No abstract provided.


A Banker's Adventures In Brokerland: Looking Through Glass-Steagall At Discount Brokerage Services, Michigan Law Review May 1983

A Banker's Adventures In Brokerland: Looking Through Glass-Steagall At Discount Brokerage Services, Michigan Law Review

Michigan Law Review

Several banks have recently entered or announced their intention to enter the discount brokerage business, and the Federal Reserve Board is considering a rule listing discount brokerage as an acceptable bank holding company activity. The securities industry has contested this entry, asserting that the Glass-Steagall Act requires separation between investment and commercial banking. Though the Act does mandate some division between the two lines of business, this Note argues that bank discount brokerage services do not violate the Act. Part I examines the competing "accommodation" and "agency" interpretations of the relevant statutory sections, concluding that the agency interpretation, which permits ...


Bank Securities Activities And The Need To Separate Trust Departments From Large Commercial Banks, Thomas J. Schoenbaum Oct 1976

Bank Securities Activities And The Need To Separate Trust Departments From Large Commercial Banks, Thomas J. Schoenbaum

University of Michigan Journal of Law Reform

This article (1) analyzes the traditional Glass-Steagall Act restrictions on banks and the leading case of Investment Company Institute v. Camp, where the Supreme Court held that the offering by commercial banks of commingled agency accounts violated the Glass-Steagall Act prohibition against underwriting securities, (2) considers the. developments since that decision, and (3) offers suggestions on an approach to devising solutions to the policy questions involved.