Eric Grover, partner at Intrepid Ventures, a financial services and payments consulting firm, questions why bank chieftains support the "stifling regulation" under the Dodd-Frank Act.
Many different CEOs are in support of the reform law. From Goldman Sachs CEO Lloyd Blankfein to Citi's Vikram Pandit, these leaders know that regulation protects financial institutions against competition from community banks and innovators.
"CEO Jamie Dimon has said JPMorgan Chase supported 70% to 80% of Dodd-Frank. Since the 1990s, Dimon and his wife have given more than half a million dollars to Democratic candidates who supported Dodd-Frank in lockstep, including Hillary Clinton, Chuck Schumer, Chris Dodd, John Kerry, Barack Obama, Debbie Stabenow, and Joe Biden," writes Grover.
The larger the regulatory burden, the more difficult it is for smaller institutions to compete with the big banks.
For the full piece see "Dodd-Frank Ushers in a Corporatist Era in Banking" (may require subscription).