WASHINGTON, D.C.— Dennis M. Kelleher, Co-founder, President, and CEO of Better Markets issued the following statement on the release of a new Better Markets Fact Sheet ahead of CEOs from Wall Street’s eight largest banks testifying at a Senate Banking Committee hearing tomorrow.
“For America to work for Main Street Americans, it needs a financial system that supports the real, productive economy, not one engaged in anti-social speculative bonus-boosting activities that are little more than gambling bets. That’s why the CEOs from Wall Street’s eight largest banks testifying at the Senate Banking Committee must be made to answer questions about the key issues that are important to Main Street Americans and businesses.
“First, Wall Street’s banks have been making wildly exaggerated and fabricated claims about the impact of long overdue, modest new capital rules that would protect Main Street from Wall Street’s biggest banks most dangerous activities. After pocketing $1 trillion in earnings over the last 10 years, the 40 or so largest, most dangerous megabanks can well afford to have a little more capital to absorb their own losses. Well capitalized banks are good for everyone, except Wall Street CEOs because their bonuses increase if capital is decreased. Second, those megabanks have also continued their shocking record of lawbreaking, racking up more than $9 billion in fines just since May 2022. The CEOs should be forced to answer when the crime spree will stop. Third, the climate crisis grows by the day, but banks continue to talk about it while doing little. The CEOs should be asked why they aren’t taking actions similar to the insurance industry given the dramatic increase in risks. Finally, crypto crooks and predators continue to try to penetrate the core of the banking system and threaten financial stability. The CEOs should spell out what they are doing to protect Main Street Americans from this lawless industry that insists on putting their profits about the best interests of the public.
“At the hearing, Senators must cut through the banks’ lobbying, doubletalk, and PR campaigns, often designed to mislead Americans on issues that are vital to their jobs, small businesses, community banks, and the economy.”
Read the Better Markets Fact Sheet here.
Better Markets is a non-profit, non-partisan, and independent organization founded in the wake of the 2008 financial crisis to promote the public interest in the financial markets, support the financial reform of Wall Street and make our financial system work for all Americans again. Better Markets works with allies—including many in finance—to promote pro-market, pro-business and pro-growth policies that help build a stronger, safer financial system that protects and promotes Americans’ jobs, savings, retirements and more. To learn more, visit www.bettermarkets.org.