Volcker Rule

Definition:

A proposal to restrict banks from making speculative proprietary investments and/or trading. Proposed by economist and former US Federal Reserve Chairman Paul Volcker. Volcker was appointed by President Obama as the chair of the President's Economic Recovery Advisory Board on February 6, 2009 and the Volcker Rule was publicly endored by President Obama on January 21, 2010 and was partially implemented in the Dodd-Frank Act.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Affirmative obligation

A New York Stock Exchange rule that governs the behavior of specialists. Affirmative obligation is the mandate of the specialists to step in and act as either the buyer or the seller when public... Read More

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