- Make it Sting;
- Wake up the Regulators;
- Solve the Rating Mess; and
- Make Leaders Lead.
Waking up the regulators and solving the rating mess actually go together and Ms. Morgenson describes how to achieve both:
Why not ensure that investors get all the information they need to conduct extensive due diligence before agreeing to buy complex securities [like structured finance securities or bank bonds and stocks]?
This may be the only way to blunt the [regulators' and] credit ratings agencies’ power or, better, make them disappear.
Please re-read the highlighted text as Ms. Morgenson has succinctly summarized what it takes to fix the financial system.
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