Comment Text:
I am Marsha McCroden, and here is how my family and I were affected by the financial crisis. My parents lost most of their retirement. My husband and I lost much of our retirement funds in the crisis, and I never again want to be called on to bail out big corporations and Wall Street banks for irresponsible “heads I win, tails you lose” gambles.
Effective oversight of the $700 trillion global derivatives market is a key to meaningful reform. Because this market is inherently global, risks can be transferred around the world with the touch of a button. The proposed guidance you have issued on cross-border application of Dodd-Frank derivatives rules shows that you understand the importance of this issue. But the proposal contains multiple loopholes that could allow foreign affiliates of Wall Street banks to escape regulation. Big U.S. banks and other major U.S. derivatives users are global corporations with hundreds if not thousands of foreign affiliates. If we don’t regulate them everywhere, we can’t regulate them anywhere. Please make this guidance stronger to ensure that new Dodd-Frank derivatives protections will directly apply to the full global activities of all important participants in the U.S. derivatives markets.
We need to make sure foreign affiliates of US banks are covered by the same rules as US banks. The derivitives market needs to be strictly regulated. This world can't take another financial crisis because of the financial markets casino mentality. If the banks say they're too big to fail -- let's try it in practice. DO NOT bail them out.
