In a Hearing before the House Financial Services Committee on June 16, 2011, Barry Zubrow, Chief Risk Officer, JPMorgan Chase & Co. uttered the following:
"None of the world’s five largest banks is a U.S. bank. U.S. banks represent 24 percent of the market share of the 50 largest global banks, down from over 50 percent only eight years ago; Chinese banks now hold 22 percent.
.........
If large U.S. banks are hobbled by uneconomic capital levels or risk restrictions, a U.S. company is not going to turn to smaller U.S. banks to underwrite a €1 billion debt offering paired with a euro/dollar swap, or to lend it $200 million, or to provide custody services for a new overseas subsidiary; rather, it is going to turn to our foreign bank competitors."
He was articulating that regulation is going too far.
I guess it is forgotten that eight years ago, the regulations were not as much as it is now. Even with the lower than current level of regulations that were existing the US banks managed to bring down their importance in terms of market share. It looks like Barry is arguing against his own case!!
Reading the full testimony is surrealistic. It can be found here - http://online.wsj.com/public/resources/documents/ZubrowHFSC.pdf
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