MarketWatch - “Expect a report set to be released Thursday about J.P. Morgan Chase & Co.’s “London Whale” fiasco to put pressure on regulators to implement a tougher Volcker Rule, a measure under consideration by federal regulators that seeks to limit speculative trading by big banks.”
More perspective on this issue:
American Banker – “Last week's theatrical Senate hearing and intriguingly detailed report on the JPMorgan Chase synthetic credit portfolio missed the mark by ignoring perhaps the biggest contributing factor to the bank's losses: the breakdown in risk governance.”
Editor: It’s a contentious political climate with both parties flexing their muscles. The safest bet is that the regulations are going to get tougher, and more complicated.
ZDNet – “Old school disaster recovery techniques pale in comparison to cloud computing when it comes to providing business continuity, according to RedBalloon general manager of development and technology Paul Keen.”
Editor: Cloud computing is definitely more than a catch phrase now. How safe do you feel with your current disaster plan and does it include cloud computing?
Sarbanes-Oxley Compliance Journal – “The new guidance on SOX 402 is noteworthy. SOX was enacted by Congress in response to corporate accounting scandals of the time – including Enron and Worldcom. Section 402 was included to combat a particular abuse in which senior officers used corporate funds to make outsized personal loans to themselves, usually on preferential terms. However, since passage of Section 402, the SEC staff has not provided interpretive guidance on it.”
Editor: It’s worth noting that this article was written by Michael Oxley, co-author of the Sarbanes-Oxley law.