Farewell Sheriff Volcker

January 9, 2011 12:00pm by Barry Ritholtz

Earlier this week, I had a few choice comments in Colin Barr’s Fortune column about Volcker’s retirement:

“Bankers are like 5-year-olds,” said Barry Ritholtz, a New York money manager who writes the Big Picture economics blog. “If you leave them unsupervised with a bowl of candy, they will eat it all and throw up all over everyone. Volcker got that.”

But having proposed a tough rule — shares in Goldman Sachs (GS) and other big banks got walloped the day of the announcement — the administration then stood aside as the language got watered down in Congress.

Though this is hardly unusual in itself, it meant Obama punted on what now looks like his last chance to reform the big banks. After all the damage bankers did with their bonus-boosting high-stakes gambling, this doesn’t exactly register as a profile in courage.

“Obama had this brief window to say this is a disaster and we have to take action to fix it the right way,” said Ritholtz. “It is rare for a leader to be given that opportunity, and he blew it.”

The full column is worth a few minutes of your time . . .

Source:
Sheriff Volcker leaves Wall Street untamed
Colin Barr
Fortunes January 6, 2011 3:47 pm
http://finance.fortune.cnn.com/2011/01/06/sheriff-volcker-leaves-wall-street-untamed

This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment. The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client. References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others. The Compound Media, Inc., an affiliate of Ritholtz Wealth Management, receives payment from various entities for advertisements in affiliated podcasts, blogs and emails. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investments in securities involve the risk of loss. For additional advertisement disclaimers see here: https://www.ritholtzwealth.com/advertising-disclaimers Please see disclosures here: https://ritholtzwealth.com/blog-disclosures/

twitter

facebook