They are no longer investment banks.The Federal Reserve voted late on a Sunday night to allow them to be converted to bank holding companies.
The Federal Reserve’s approval of their bid to become banks ends the ascendancy of the securities firms, 75 years after Congress separated them from deposit-taking lenders, and caps weeks of chaos that sent Lehman Brothers Holdings Inc. into bankruptcy and led to the rushed sale of Merrill Lynch & Co. to Bank of America Corp.“The decision marks the end of Wall Street as we have known it,” said William Isaac, a former chairman of the Federal Deposit Insurance Corp. “It’s too bad.”Â
In February 2008, there were five investment banks in the United States. Now there are none. Who has done more damage to the US economy, George W. Bush and the Republican deregulators like John McCain, or Osama Bin Laden?
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