Bailey McCann, Opalesque New York:
Former Senator Christopher Dodd (D-CT), CFTC Commissioner Bart Chilton, and Guggenheim Partners Chairman Alan Schwartz, convened last night at the Bloomberg FX12 Summit to discuss Dodd-Frank and what financial markets participants might expect over the coming months as the fiscal cliff looms large. Speaking to a group of industry professionals in the opening panel, Senator Dodd voiced his unapologetic support for the law, and his vote for the TARP bailout.
"My vote on TARP – and I’ll go to my grave believing this – was the right thing to do at that moment," the Senator said. He also believes that while the implementation of Dodd-Frank is still in flux, the regulations will be a net positive for both the industry and investors. To him, the immediate focus should be on dealing with the fiscal cliff.
"The president and congress really have only a 6-8 week window to engage," he said, noting that after that point, the wiggle room provided by the election is likely to wear off , sending lawmakers and the President back to their respective corners. "The President is really, really going to have to engage on this issue," the Senator said.
His points were echoed by Schwartz who expects to see a rise in corporate and dividend tax rates in addition to the continued implementation of Dodd-Frank. "The most critical part of Dodd-Frank are the derivatives rules," Schwartz said, noting that allowin......................
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