Lessons from the Turmoil

Today’s Business Standard carries an editorial that deals with possible regulatory responses to financial markets crises, a theme also addressed in a recent post on this blog. Here is an excerpt from the editorial:

“The history of financial regulation shows such regulation is rooted in crisis. Significant regulatory change usually takes place in response to the perceived inability of the previous regime to anticipate and prevent a crisis. This is not in and of itself a negative attribute. Any attempt to envisage every possible scenario and build in regulatory safeguards in anticipation can completely stifle innovation. However, it is critical that the right lessons are learned from every crisis. The true test of a regulatory system lies in its ability to avoid the same crisis a second time around.”

The entire editorial is worth reading, and is not very long (only 4 paragraphs!).

About the author

Umakanth Varottil

Umakanth Varottil is an Associate Professor at the Faculty of Law, National University of Singapore. He specializes in corporate law and governance, mergers and acquisitions and cross-border investments. Prior to his foray into academia, Umakanth was a partner at a pre-eminent law firm in India.

1 comment

  • Bombay Bashers Up To Bat

    Short selling has come to Bombay. Investors everywhere are rejoicing.

    Certainly, short selling is necessary to keep any market honest and balanced. But opening the door to the good will assuredly give passage to the wicked, as well. Now, the Indian market will have to bolster itself against the onslaught of miscreant manipulators. It cannot be long before the Bashers begin their dirty work and the market becomes littered with the broken dreams and hopes of the individual investor.

    We can only hope that Bombay will be more vigilant against such dastardly behavior than Wall Street has been. We can hope it. We cannot count on it. Hope for the best; prepare for the worst…and be informed!

    We at Basher Busters call on all investors to be proactive where this newfound danger is concerned! Keep your eyes and your ears open. Do not be duped or misled.

    Knowledge is power!

    http://www.basherbusters.co.uk

SUBSCRIBE TO BLOG VIA EMAIL

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Top Posts & Pages

Topics

Recent Comments

Archives

web analytics

Social Media