Rep. Maloney Statement on Adoption of a Final Volcker Rule

WASHINGTON, DC – Rep. Carolyn B. Maloney (D-NY), a senior member of the House Financial Services Committee, and Ranking Member of its Subcommittee on Capital Markets and Government Sponsored Enterprises, issued the following statement on the adoption of a final Volcker Rule. In 2012 Maloney led 35 House members in calling for a strong Volcker Rule.

“At first glance, it looks like the Volcker Rule achieves just what Congress wanted it to do: it ‘threads the needle.’ When we crafted the requirements for the rule, we knew that distinguishing between prohibited proprietary trading and legitimate market-making and hedging activity would be difficult. But we also knew that it would be necessary for the long-term safety and security of our financial system. I applaud the regulators for tackling such a complex task.

“The new rule will contribute greatly to the safety and soundness of our system. And it will increase CEO accountability by requiring CEOs to personally attest to their bank’s compliance with the new rule. It also eliminates existing loopholes, like the now infamous ‘London Whale’ loophole. In its final form, it’s tough, but fair.

“The Volcker Rule was meant to be a cornerstone of the Dodd Frank financial reforms. I am pleased to see that it is finally moving forward.”