Late last year, the Federal Reserve proposed rules intended to prevent too much interconnectedness among financial firms. Wall Street opposes the "counterparty exposure" rules -- which were mandated by the Dodd-Frank Act -- saying they could hurt markets. "Banks are not opposed to the rule," said Carter McDowell, SIFMA's associate general counsel. "They are just opposed to this model because they think it overstates the risk." Need to be briefed on the issues in systemic risk regulation? Go to SIFMA's Systemic Risk Resource.
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