financialservices.house.gov

Cmte Financial Services (R)
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A Threat to American Jobs


Washington, May 25 -

“If we create a prohibitively expensive and rigid climate for the use and trading of derivatives in the United States, the market could very well shift overseas, and once markets leave they will not return.  Undoubtedly, foreign markets are closely examining how U.S. regulators are implementing Dodd-Frank and stand ready to create a competing non-punitive derivatives marketplace.”

Financial Services Committee Chairman Spencer Bachus
May 24, 2011

 

 

US derivative regulators claim laws will
 
hand trade to Europe

Financial Times headline
May 25, 2011

 

 

CFTC Member Jill Sommers “warned that the disparate time frames may hurt American businesses or encourage firms to skirt the Dodd-Frank by booking derivatives deals out of Frankfurt or London.”

The lag time “may shift business overseas as the cost of doing business in the U.S. increases and creates other opportunities for regulatory arbitrage,” Ms. Sommers said.

New York Times
May 25, 2011