Week in Review
- The House voted 233 to 186 to pass the Financial CHOICE Act, a bill that would make significant changes to key parts of the the 2010 Dodd-Frank Act. In the mostly party-line vote, Rep. Walter Jones (N.C.) was the only Republican to vote against the measure. No Democrats voted for it.
- After the vote, President Donald Trump congratulated House Financial Services Committee Chairman Jeb Hensarling (R-Texas), the bill’s author, by tweeting: “Congratulations to Jeb Hensarling & Republicans on successful House vote to repeal major parts of the 2010 Dodd-Frank financial law. GROWTH!”
- Substantive policy differences make it unlikely that the Senate will pass the measure. Senate Banking Committee Chairman Mike Crapo (R-Idaho) called the CHOICE Act a “significant and thoughtful effort to improve our financial regulatory system,” but he stopped short of saying the Senate will take up the legislation.
- The core principle of the Labor Department’s fiduciary rule took effect on Friday, with operational components slated for implementation in January.
- Labor Secretary Alex Acosta told a House panel that the Labor Department initiated its review of the fiduciary rule by requesting information from the Office of Management and Budget about the regulation. Acosta suggested that the Labor Department did not adequately consider stakeholder comments when the rule was finalized during the Obama administration.
- The White House said President Donald Trump intends to nominate Joseph Otting to serve as comptroller of the currency. Otting is former chief executive of OneWest Bank, where he was a close associate of Treasury Secretary Steven Mnuchin.
Securities and Exchange Commission
- SEC Chairman Jay Clayton named Steven Peikin and Stephanie Avakian as co-directors of the agency’s enforcement division. Avakian had been the SEC’s acting enforcement director, and Peikin most recently worked at the law firm Sullivan & Cromwell LLP, where he represented banks such as Barclays Plc and Goldman Sachs Group Inc.
- Dalia Blass, an attorney at the law firm Ropes & Gray LLP, is set to join the Securities and Exchange Commission as the agency’s top regulator of mutual funds and exchange-traded funds. Blass’ husband is about to step down as the top lawyer for the Investment Company Institute, a Washington-based trade group that represents the mutual fund industry.