Former Federal Reserve Board Gov. Susan Schmidt Bies isn't sure she wants to see banks barred completely from proprietary trading, but she wouldn't mind seeing them assessed for it.

In a speech Wednesday to the Global Association of Risk Professionals, Bies, who now serves on the board of Bank of America Corp., suggested that firms with prop investments pay into a new fund that would bolster the system in times of crisis — sort of a broader version of the Federal Deposit Insurance Corp. system.

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