I am a firm believer that one of the greatest things about our country is Wall Street. The job of Wall Street is to raise capital and put it to good uses. Yes there have been some abuses now and then, but I believe it remains one of the most important contributors to the growth and prosperity of our country.
In light of recent abuses, new regulations have come about, and the UK with it’s strong financial center (centre in British) has been more than happy to take advantage of some of these changes to slowly chisel away at Wall Street’s foundations, even going so far as to claim itself as the “financial center of the world.” Not so fast mate…
In 2012, the EU passed a law giving it the power to ban short-selling, a law challenged by the UK as a restraint of trade. The EU’s highest court rejected the case, and Britain will not be able to opt out.
Britain is also challenging EU rules regarding the placement of a cap on bankers’ bonuses and the imposition of a financial transaction tax. While we do not yet know the results of those challenges, perhaps these restrictions will keep the best and brightest of Wall Street on Wall Street, and encourage immigration from what they call the City, to what we know as the real City.