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Why Swaps Matter 

December 15, 2014
Mark Whitehouse, Bloomberg View

The congressional wrangling to avoid a government shutdown -- with its attendant noise about a thing called the swaps push-out rule -- has brought useful attention to some unfinished business of financial reform: loosening the largest U.S. banks' grip on the derivatives market.

Six years after the 2008 financial crisis, these institutions still dominate a market that had a starring role in that disastrous episode. As of June, the three top banks -- JPMorgan Chase, Citigroup and Goldman Sachs -- had written derivatives contracts on the equivalent of about $182 trillion in assets, up from $158 trillion in 2008, according to the Comptroller of the Currency.

Read more: Bloomberg View

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