Dimon Hates New Regs
Jamie Dimon, the chief executive of JP Morgan, hates the new federal regulations his bank faces, and he isn't shying away from telling everyone. Speaking to the United States Chamber of Commerce's Capital Markets Summit, Dimon lashed out at efforts by regulators to police the $600 trillion swaps market, in which JP Morgan is a big player.
In no uncertain terms, he said that instead of coming up with these new rules, the government should focus on a more important goal: "Get people back to work."
New regulations being implemented by the U.S. Commodity Futures Trading Commission, mandated under 2010's post-crisis Dodd-Frank reforms, "would damage America," Dimon said.
He concluded that part of the Dodd-Frank legislation requiring banks to spin off swap dealing operations was "one of the most irrational pieces of legislation I've ever seen."
From the New York Times:
"The C.F.T.C. way would damage America," he told the audience of fellow bankers and businessmen. Mr. Dimon assailed the agency for drafting rules that conflict with similar proposals emerging from the SEC.
"It's their job to make sure its one set of rules," he said. The two agencies are writing the rules to comply with the Dodd-Frank Act, the financial regulatory law signed by President Obama in July. The law aimed at changes in the derivatives industry, a leading cause of the financial crisis.