#OWS news
First, wanted to make sure people know we are having an #OWS Alternative Banking Working Group meeting today; the announcement is here. Topics on the agenda so far are:
Please come!
Next, Occupy the SEC, which is preparing public comments for the Volcker Rule, has a new blog post which examines other public comments and asks what the regulators’ actual goals are in writing and implementing the Volcker Rule. From the post:
It appears that many pundits and Asset Managers assume that a priority of the regulators writing the Volcker rules is to maintain the status quo in spite of the statute. In fact, their arguments actually strengthen the regulators’ hand to change the status quo. Simply put, the proprietary trading and market making definition need to be tightened.
Finally, I was in Boston yesterday and ran into two small #OWS demonstrations in Harvard Square, one in Brattle Square and the other in Harvard yard. It was great to connect with these guys, they are doing great work. For example, the Harvard occupiers told me that the investment banks no longer attempt to recruit on campus, which is a huge win and needs more attention. Right on!
mathbabe 
If you don’t want big banks to take prop trading or prop investment risk, then you ought to think about requiring the big banks to represent in security filings to investors that they don’t take proprietary risk directly or indirectly (e.g., they represent to running a flat, square book of customer trades), and make senior executives and directors personally liable for material mistatements regarding proprietary trading or investment risk (with no indemnity for negligent, reckless or wilfull violations). And let the plaintiff bar destroy the personal wealth of anyone found in violation.
If you don’t like the results of MF Global, then you ought to think about eliminating the super-protections for repo-lenders in bankruptcy (created in 2004) and tightening the SEC, CFTC, and Fed rules allowing hypothecation, pledge, repo, etc of customer assets.
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Hey, why don’t you join the Alt Banking group? We’d love to have you.
Cathy
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“For example, the Harvard occupiers told me that the investment banks no longer attempt to recruit on campus”
What does “not on campus” mean — the Charles Hotel? Until I see numbers saying otherwise I’ll expect the percentage of Harvard graduates who go straight to I-banking to stay very high.
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