Regulators released their proposed Volcker rule to prohibit proprietary trading at financial institutions. However, the complex proposal, which includes hundreds of questions for interested parties, is facing opposition from banks and consumer groups, although for different reasons. Analysts have estimated that the Volcker rule could cost major banks billions of dollars in annual revenue. SIFMA has questioned whether the market-making exemption is too narrow. The rule will "reduce market liquidity, discourage investment, limit credit availability and increase the cost of capital for companies," said SIFMA President and CEO Tim Ryan. Read SIFMA's statement on the Volcker rule proposal.
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