Milbank Tweed Hadley & McCloy LLP partner Douglas Landy was quoted in a SNL Financial Services Daily article, “Winds of change blowing on Volcker rule,” published June 15. In the article, Mr. Landy comments, “The part of the Volcker rule that affects the largest number of banks is the provision that restricts investments into certain covered funds.” He further notes, “Before the Volcker rule was finalized, considerable debate was held about whether to make venture funds subject to the covered fund provision.” Mr. Landy adds, “many of the Treasury's other recommendations had previously been suggested in industry group comment letters.” However, he says, “it was fair to re-introduce those ideas because now the market has seen the impact of the rule.” He concludes: “We've seen where the rule is overly conservative. We've also seen where the rule has caused harm.”
