New Rules on Wall Street

New Rules on Wall Street are long overdue. New Regulations are needed. The first new regulation should be to enforce the old regulations. The SEC has been a failure from it's conception when FDR nominated Joseph Kennedy (JFK's dad) to head it. JPK, who had profited by breaking the rules of the game during the crash of 1929 was the worst possible choice. When FDR was asked why he nominated a scoundrel to go after wrong doers on Wall Street, Roosevelt responded that it takes a thief to catch one. Of course Kennedy proceeded to use his new office and new power to line his pockets further rather than going after his old pals and cleaning up the Markets.

I am sure the NEW RULES and the new oversight structure will all sound wonderful once the politicians finish thrashing out the details. However, if the NEW RULES do not address naked short selling as well as numerous other outrageously unfair trading tactics designed to make the playing field uneven for retail investors the end result will be the same. The retail investor needs not only better rules but better enforcement. In my opinion that is only possible if the head of the NEW SEC is a person of high integrity and a Wall Street outsider. What is Walter Cronkite doing these day?