Joseph Sergienko is quoted in several publications regarding this change
The Volcker Rule is a federal regulation that puts boundaries on risky transactions that a bank can undertake with the intent to protect taxpayers. Two of the five regulatory bodies have agreed to a set of changes to soften this rule and to potentially remove the limits of these risky transactions, and the remaining three bodies are expected to sign off soon. Some critics claim that the removal of these boundaries could possibly increase the risk of U.S. taxpayer bailouts by allowing banks to return to risky proprietary trading that led to the financial crisis of 2007-2008. However, other critics claim this rule is too ambiguous and increasing transparency of the rule is needed.
Our Joseph Sergienko, director, was quoted in Fortune Magazine stating that "I think the [original] rule oversteps in a lot of ways and was very onerous on a lot of banks [when] it didn't need to be.” The FDIC plans to issue a subsequent proposal to address changes to the covered funds definition. He was quoted in American Banker stating that the FDIC will try to “be a little bit more prescriptive around what they really mean by covered funds and what should be covered versus what shouldn’t be covered.”
I think the [original] rule oversteps in a lot of ways and was very onerous on a lot of banks [when] it didn't need to be.”
Joseph Sergienko, Director