**You’ll note that we have renamed the “Financial Reform Newsletter” and in the future will be posting it mid-week.**
High-frequency trading firms launch lobbying effort.
Four leading high-frequency trading firms this week formed a new trade group to lobby Congress
on behalf of the unregulated “Wild West” of the financial markets
. Unfortunately, too much HFT prioritizes profits over stability and fairness of the financial markets, destroying investor and public confidence while engaging in predatory conduct. Joining 30 or so other Wall Street financial industry lobbying groups already in DC, the new lobby shop says it’s going to work to change perceptions in Washington after lots of high-profile HFT-related trading debacles
. But, too much of HFT doesn’t just have a “perception” problem – it has lots of real problems and creates lots of problems for markets and investors, as detailed in this blog post
by Themis Trading, the leader in debunking HFT industry arguments and lobbying with facts and research.
Financial reform champion Gary Gensler departs CFTC.
Last week marked the end of Gary Gensler’s tenure as Chairman of the CFTC
. A champion of financial reform, Chairman Gensler’s legacy will be standing up to powerful and well-connected Wall Street interests and passing much-needed regulation of the U.S. and cross-border derivatives markets
. Former TARP chief Timothy Massad, who’s expected to succeed Mr. Gensler as Chairman, will join the CFTC at a critical juncture for financial reform. As Better Markets President and CEO Dennis Kelleher told the New York Times
, “There’s no question Wall Street sees an opening to roll back reform. But Massad is no fool; he knows he’s going to be judged by the very high standards set by Gary Gensler.”
Some other things that might interest you: