REGULATION OF FINANCIAL MARKETS: TOWARD A FOCUSED APPROACH

摘要: Regulation of financial markets arose in a simpler time when transactions were carried out face to on an exchange floor or banker's office—when trading was localized and the variety instruments small. Today task regulators is much more difficult. Markets are global, takes place cyberspace, limitless. The initial focus, still central concern, our regulatory system ensure full corporate disclosure transparency markets. But regulation today goes far beyond requirements. The existing tendency expand match expanding likely be inefficient, unwieldy, too costly, given increased complexity global nature A new approach mindset needed—one which aim identify provide only necessary rather than simply continuing oversight. Such focused would separate what regulated from not. Those aspects banking that essential integrity payments while other Some securities derivatives regulated, others And market participants able choose participate in. Given ever-expanding system, such not most cost effective one—it also prove workable alternative now under great pressure.