Bill Clinton on Goldman Sachs, Financial Regulatory Reform
Published on April 28, 2010
In the CSPAN video shown below, former President Bill Clinton comments on the SEC charges against Goldman Sachs and provides a brief account of his views regarding the problems with the financial system. Mr. Clinton specifically cites John Bogle’s views regarding financial intermediation consuming a greater share of economic output. He also provides some good examples regarding the difference between hedging transactions in derivatives and speculation.
Few investors would normally look to Mr. Clinton as an authority on financial matters. However, it is worth noting that he was able to get to the heart of the issue in under five minutes while Senators of both parties struggled for hours yesterday during the Goldman Sachs hearings to even grasp the nature of a synthetic CDO.