Non-US banks stunned by Volcker compliance regime
Banks will have to document the scope of every trader's activities and have chief executive sign off on Volcker compliance regime
Non-US banks that have a US branch will be allowed to engage in proprietary trading under the proposed Volcker rule text – but the exemption comes at the cost of a sprawling compliance regime that would, among other things, require each bank to provide US regulators with a list of every trader in the organisation, documenting the scope of his or her trading activity. Foreign banks are struggling to digest the implications.
“We were stunned when the rule came out. We had no idea it would contain
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