Billionaire hedge fund manager Ken Griffin said he is encouraged by recent comments from U.S. officials that the government could move to break up the country's biggest banks.
"My fantasy is to break up the big banks," Griffin said on Monday at the Milken Institute Global Conference in Beverly Hills. "I wish we would end too big to fail in our banking system."
Griffin is the founder of Citadel LLC, a hedge fund firm, as well as Citadel Securities, a market-maker that competes against big Wall Street banks. He expressed his view on bank breakups in response to President Donald Trump saying on Monday that he is actively considering such a plan.
Other White House officials have said similar things, and some U.S. lawmakers are also supportive of bank breakups. The renewed chatter has created jitters on Wall Street, where banks like JPMorgan Chase & Co, Bank of America Corp and Citigroup Inc have argued that their size and diverse revenue streams are good not just for shareholders and customers but the broader financial system.
Sitting on a panel at the conference, Griffin said he is encouraged by Trump's agenda to reduce taxes and roll back regulations, and believes the president will eventually accomplish his goals despite a failure to do so during his first few months in office. His comments mirrored those of other attendees.
"There is a tone from the top that it is a new day in America," Griffin said. "It's 100 days - it's not much time. We have another four years of this administration."
Source: Bloomberg
Jr Trader Alexander Kumanov
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.