How to Regulate Banks and Hedge Funds

I don’t think you can say -- we can say that because it’s important to understand the
global linkages and perhaps allowing Lehman Brothers to fail as an example of why you
cannot make these decisions very quickly nor you can make them in a very light manner.
Not only do others such close linkages and significant linkages in terms of size that could
really dramatically affect or cause a collapse of the whole banking system which would
not be a good thing where they to be a decision to allow some hedge funds to fail, for
example or some investor to fail.

So, I actually don’t think so. I think it’s a much more and it’s a much more considered
approach. I know people are very anxious and very keen to see decisions be made
quickly. But I think it’s really important to understand that we now also know that what
can happen to its system if a bank is allowed to fail or a big financial institution is
allowed to fail from the experience of seeing Lehman Brothers fail. So, I actually think
that, you know, we would like to see more regulation. We would like to see some
changes to the system from where it was in the past. But I don’t think that we should get
too hung up on allowing a specific hedge fund or hedge funds to fail.