Bernard Madoff’s alleged US$50 billion Ponzi scheme is breathing new life into Bush-era proposals that could subject money managers to a new layer of regulation as well as a merger of the SEC and the CFTC, financial industry lobbyists said last month.
The regulatory proposal, if enacted, would subject money managers for the first time to the scrutiny of a self-regulatory organisation (SRO), submitting managers to the same sort of oversight that broker-dealers get from the Financial Industry Regulatory Authority (FINRA).
