Sen. Sanders Unveils Legislation to Place Cap on Size of Financial Institutions - ABI

Sen. Bernie Sanders (I-Vt.) yesterday unveiled legislation that would place a hard cap on the size of financial institutions, the Washington Post reported. Sanders’ bill would bar financial institutions from holding assets, derivatives and other forms of borrowing worth more than 3 percent of the entire U.S. economy, or $584 billion in today’s dollars. The legislation would force federal regulators to break up six different Wall Street firms — JPMorgan, Bank of America, Citigroup, Wells Fargo, Goldman Sachs and Morgan Stanley — as well as insurance giants such as Prudential Financial and MetLife. Collectively, the targeted firms hold more than $13 trillion in assets, according to Sanders aides. Prospects for the bill are unfavorable, however, with a Republican Congress and President Trump in office.

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