Financial Reform in an Age of Unavoidable Corruption

While we have been covering financial reform news on the Radio Show and have written about how it is being gutted and sterilized by lobbyists and the financial sector in Corporate Socialism vs Regulatory Reform and  Dysfunctional Governance, we have come to realize there is no hope, because the banker's lobbyists have ravaged the bill creating a watered down, pro financial sector business as usual, anti-American public/consumer protection, and keep everything confusing rather than transparent morass which sets the stage for the next financial crisis.  We have also commented here and here as well as in several other posts.

It appears the U. S. Senate will vote in the next few days on their version.  With respect to fiduciary duty in providing financial advice, they are going to let the SEC study the issue, although there are amendments (again) to provide exemptions to stock brokers and insurance agents, which may or may not get included.  I have made my self clear on this subject.  What is most disturbing is that it is illegal in the United Kingdom, Australia, and Canada to provide financial advice and sell financial products, because they are fiduciarily incompatible activities.  In the United States, even the "reformers" of the financial planning groups ardently defend the "unavoidable" conflicts of interest of sales people giving financial advice as necessary.  The world is leaving the United States behind in its own boiling stew.

If you want well-balanced but detailed analysis of the financial reform bills and issues, you should visit the blog Rortybomb.  You can also get well balanced viewpoints by doing a search for "financial reform" in the blog search boxes of naked capitalism and Economist's View.  It is always best to be well informed --- even if it makes you outraged.

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