Do regulators still need to issue an exec comp rule?
By John Heltman and Kate Berry
A regulatory plan to create new restrictions on banks’ executive compensation practices appears dead — but changes since the financial crisis may have made the proposal largely obsolete anyway. …The agencies’ apparent intention to ignore the rule comes as little surprise to Karen Shaw Petrou, managing partner at Federal Financial Analytics. She noted that the regulation was difficult to promulgate even under the Obama administration, and said the election of Donald Trump as president made its demise a foregone conclusion. “In November we said this was one rule that was dead on arrival, and I haven’t thought much about it since,” Petrou said. “It wasn’t liked on all sides. It was too lax for those focused on retribution, and too stringent for the industry.”