America Should Pull Out of Basel - Because they are Anti American
America is Out of Kyoto - Because they are Anti America
America is Out of ICC - It is illegitimate
What suits to America is Americanism - What suits to World and Principle of Justice is Anti America - This is what exactly Americanism
New international bank capital
rules are “anti-American” and the US should consider pulling out of the Basel
group of global regulators, Jamie Dimon, chief executive of JPMorgan Chase, has
said.
In an interview with the Financial
Times, Mr Dimon said he was supportive of forcing banks to have more capital but
argued that moves to impose an additional charge on the largest global banks
went too far, particularly for American banks
The Basel III capital rules are
designed to make the financial system safer by making banks build up
risk-absorbent “core tier one” capital to at least 7 percent of risk-weighted
assets. The biggest, including JPMorgan
[JPM 32.08 
-1.43 (-4.27%) 
]
, have to reach 9.5 percent.
-1.43 (-4.27%) ]
, have to reach 9.5 percent.
“I’m very close to thinking the
United States shouldn’t be in Basel any more. I would not have agreed to rules
that are blatantly anti-American,” he said. “Our regulators should go there and
say: ‘If it’s not in the interests of the United States, we’re not doing
it’.”
Mr Dimon also criticised global
liquidity rules, arguing that regulations that viewed covered bonds – a European
market feature – as highly liquid but discounted government-backed
mortgage-backed securities in the US were unfair and that other details hit
investment banking activity core to US banks hardest.
Regulators say all countries
compromised on agreeing the rules, which put eight banks – five from outside the
US – in the top level of capital. But Mr Dimon said there was a threat that
Asian banks, in particular, could take US market share because of the
combination of US domestic and global rules.
“I think any American president,
secretary of Treasury, regulator or other leader would want strong, healthy
global financial firms and not think that somehow we should give up that
position in the world and that would be good for your country,” said Mr Dimon.
“If they think that’s good for the country then we have a different view on how
the economy operates, how the world operates.”
US banks are struggling to deal
with new regulations and litigation, both stemming from the financial crisis. Mr
Dimon said it could be “three to 10 years” before the industry emerged from
lawsuits brought by investors looking for compensation for the losses incurred
on structured products underpinned by bad mortgages.
He said he was ready to agree a
settlement over lax servicing and foreclosure standards that is expected to see
the industry pay $20 billion in penalties. But he said banks could not be placed
in “double jeopardy” and needed an appropriate release from legal
liability
