While Senate Banking’s GameStop hearing today continued many of the partisan battles fought when HFSC held its first hearing on the matter, at least one area of consensus emerged today: the need to decrease settlement times. Republicans and Democrats agreed that slow settlement introduces risk into the financial system and argued same-day or real-time settlement decreases risk and benefits investors. However, Democrats also pushed for a financial transaction tax (FTT) and a prohibition on payment for order flow, policies soundly rejected by Committee Republicans on grounds they would harm investors, retail or otherwise.
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