SEC Gone Wild

Discussion in 'Wall St. News' started by ChkitOut, Sep 21, 2011.

  1. Ummm, who the hell spends multi billions on computer system?? wtf??

    U.S. regulators, responding to concerns about their ability to keep pace with fast-evolving markets, are pushing forward with a plan to build a multibillion-dollar computer system to monitor stock trading in real time despite criticism from traders who could foot the bill.

    The Securities and Exchange Commission first proposed the system, called the consolidated audit trail, or CAT, more than a year ago. Now, it expects to issue a detailed blueprint for the project within the next few months.

    The SEC won't pay for the project. Instead, the agency will require stock exchanges, brokerage firms and the Financial Industry Regulatory Authority, or Finra, which oversees the brokerage industry, to cover the tab. The cost likely would be passed on to investors and traders, according to industry observers.

    Critics in the brokerage industry said those costs could damage the market by imposing fees on high-volume traders, making their activities so expensive they might pull back from trading, removing liquidity from the market, or move overseas.
  2. I'd put my money on Harry Markopolous beating their $4b computer when it comes to detecting fraud.
  3. AK100


    Wha you never hear from the 'pay more tax' brigade is 'we'll spend it wisely' or if you do it's just another lie, ie telling the people what they want to hear.

    Billions of $ for a computer system! Private sector would probably do it better for 10% of the SEC's cost.
  4. Lucrum


    The FAA has plans to mandate electronics purchase/installations that benefit no one but the FAA - at aircraft owners expense.

    It's government gone wild.
  5. I wonder if this computer system is going to have the capability to maybe travel to mars or fend off a nuclear attack?? :confused:
  6. so the sec needs more tools to do a bad job? i bet their interns do everything for them anyway
  7. Bob111


    nah..but their emloyees will be able to load porno movies much faster than before.
  8. piezoe


    Maybe not, though it seems so. Not saying anything about the merit, but this is how capitalists use regulation and the government to make money for the corporate sector. Like it or not, that's how it works. All of those electronic packages bought will profit the companies supplying them. Money will be transferred from aircraft owners to the corporate aircraft instrumentation sector sector by this mechanism. It's an ill wind that doesn't blow someone some good.

    Another example among an endless number, when home wiring went from two wire to three, billions were eventually transferred from individual pockets, i.e. homeowners, to the corporate cable and wire industry. Overnight they began selling 50% more wire. Again, no comment on the merit, other than to note that the best, and unassailable argument for selling these money making schemes via regulation and codes is always "safety".
  9. Eight


    The IRS once spent Billions and years on a computer system that they couldn't ever use... That probably makes Obamanites cream their jeans thinking about the public sector jobs that created..
  10. Lucrum


    I read last year I think it was the FAA has projects underway that are a decade or more behind schedule and billions over budget.

    By the time they get through screwing around their project is already obsolete.
    #10     Sep 21, 2011