Allan Mendelowitz, head of the US Committee to Establish the National Institute of Finance (Ce-Nif), has urged US legislators not to water down proposals contained within the Senate’s Wall Street Reform Act which would mandate data monitoring of all financial transactions.
In an interview with FOi ahead of the Senate Act’s final reconciliation with an earlier House of Representatives reform Act, Mendelowitz stressed that data monitoring was “more important than anything else in the bill.” He said that: “The other provisions are worthless if your regulators are flying blind.”
Ce-Nif has called for a new independent body to collect and manage all transaction and position data for US financial entities and their affiliates. It has also requested that a database be created to store the data, which would be accessible by regulators so they could monitor the build up of systemic risk.
“Anyone who looked at what happened...