Which will always be a problem, so you've just told us one of the mechanisms for regulatory failure.
> You've got AIG
Bzzt - AIG was not just under OTS, they were also under insurance regulation and a couple of others. And they were regulated in several countries, often in multiple ways, not to mention states. And these agencies cooperated.
AIG was pretty much a best case for regulatory success.
And now it's a conduit for payoffs to Goldman Sachs. (Yes, I know the collateral story. I'm hoping that someone will post the details so I can show how it doesn't mean what they think it does. GS should have been left holding the collateral.)
Which will always be a problem, so you've just told us one of the mechanisms for regulatory failure.
> You've got AIG
Bzzt - AIG was not just under OTS, they were also under insurance regulation and a couple of others. And they were regulated in several countries, often in multiple ways, not to mention states. And these agencies cooperated.
AIG was pretty much a best case for regulatory success.
And now it's a conduit for payoffs to Goldman Sachs. (Yes, I know the collateral story. I'm hoping that someone will post the details so I can show how it doesn't mean what they think it does. GS should have been left holding the collateral.)