NYSE Euronext: tough to implement prop trading ban

Discussion in 'Wall St. News' started by Tauvros, Jan 29, 2010.

  1. Tauvros

    Tauvros

    Any more bright ideas........

    NYSE Euronext: tough to implement prop trading ban
    BY Reuters
    — 10:30 AM ET 01/29/2010

    * "Virtually impossible" to separate bank activities - CEO

    * "Much easier to say than to implement" - CEO

    NEW YORK, Jan 29 (Reuters) - The head of the New York Stock Exchange parent company said on Friday President Barack Obama's plan to ban proprietary trading by banks "is much easier to say than to implement."

    Obama's proposal, announced last week, would bar banks from betting in financial markets with their own money, a practice known as proprietary trading, in order to curb risk-taking and avoid another financial crisis.

    Speaking on CNBC, NYSE Euronext (NYX) Chief Executive Duncan Niederauer said it would be very difficult to differentiate proprietary trading from other banking activities.

    "Separating proprietary activities from principal activities from customer facilitation activities from market making activities -- it's virtually impossible, in my humble opinion," Niederauer said. (Reporting by Jonathan Spicer; editing by John Wallace)