Comment Text:
Submitter Info:
First Name: Emmanuel
Last Name: Roux
Mailing Address: 2519 driftwood rd
City: St Petersburg
State or Province: fl
Postal Code: 33705
Organization Name: Aguelhok ventures LLC
Dear Chairman Gensler:
Re: End-User Exception to Mandatory Clearing of Swaps (RIN 3038-AD10)
The big banks and their allies are pushing for changes in the transparency requirements of Dodd-Frank that would throw important trades back into the shadows. Specifically, they are calling for exemptions for a very broad array of companies from the clearing and margin requirements of the act.
Dodd-Frank already contains an exception for legitimate end-users, such as airlines and farmers, who are doing commercial hedging as part of their business from clearing and exchange trading requirements.
We must not broaden this narrow, commonsense exception to include financial and commercial institutions that want to gamble in the derivatives markets. Doing so would allow systemically important companies to enter into risky trades in a market with zero transparency and accountability.
This is exactly the kind of murky shadow banking that led to the meltdown - as every objective observer of our present financial situation well knows. Please implement Dodd-Frank as written and do not give in to the pressure to weaken the legislation in the rulemaking process.
As a small business owner I am left to bear the consequences of my actions and bankers should too. This is the essence of capitalism. Bailing out banks and hedge funds is corporate welfare also known as socialism decried by the very bankers the tax payers bailed out.
Big banks must be reined in and made smaller to be able to fail with little consequences to the tax payer if they made bad choices. They must not be able to repeat those gambles. Government regulation is a must to protect the tax payers and the economy that cannot afford an other financial disaster.
Thank you!
Thanks for your help!
Emmanuel Roux
Americans for Financial Reform
