Day of reckoning for Goldman Sachs and Morgan Stanley
October 11, 2011
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Further on the new proposed regulations for the Volcker rule, Fortune Magazine carries an interesting discussion today about the two big broker-dealers and what they plan to do with their bank charter. Both got access to the Fed’s discount window during the crisis, but could turn in their banking license if they consider the Volcker rule to be too strict for their main business. However, in today’s volatile funding market, that may be risky. So both Goldman S and Morgan S may sit around and wait a bit longer before they decide.