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Tuesday, June 15, 2010

Agency Looks to Experts to Prevent Next Crisis


“Although lawyers fill most of the SEC’s ranks, the agency has been hiring experts with specialized quantitative skills and those who have worked on Wall Street who are hip to its tricks. The SEC, like many federal regulators, failed to anticipate the economic crisis, and postmortems have revealed that the agency badly needed people who could help it assess the complex markets that make up the modern financial system. What’s more, under the landmark financial regulations pending in Congress, the SEC is set to inherit new powers to regulate financial instruments known as derivatives as well as hedge funds — making it all the more urgent that the agency have the firepower to police those areas.” (Washington Post, Tuesday)

Maybe they should hire fortune tellers.

FEE Timely Classic
“Regulation Will Stop Future Madoffs? It Just Ain’t So!” by Chidem Kurdas