Here Are All The Financial Reforms That Will Disappear With Dodd-Frank. FORBES
The U.S. House of Representatives on Thursday passed the Financial CHOICE Act, a Republican-led financial reform effort aimed at rolling back the 2010 Dodd Frank Act, enacted under President Barack Obama.
Dodd Frank was a sweeping re-write of U.S. financial laws in the wake of the financial crisis, which altered everything from the trading of stocks and bonds to the way in which large banks are regulated. President Trump, however, believes regulations are slowing the U.S. economy and has proposed drastic cuts as a centerpiece of his agenda.
The Act has seven principals:
1. Taxpayer bailouts of financial institutions must end and no company can remain too big to fail.
2. Both Wall St. & Washington must be accountable
3. Simplicity must replace complexity
4. Economic growth must be revitalized
5. Every American must be able to achieve financial independence
6. Consumers must be protected
7. Systemic risk must be managed via profit & loss
These rollbacks will have real policy implications. Here are the reform items Wall Street is watching as the House-approved bill moves to the Senate.
The Act proposes to restructure the Consumer Financial Protection Bureau, an agency that monitors financial products from loans to high-fee investment products.