Fed proposes changes to rule limiting risky trading on Wall Street

The Federal Reserve is proposing to ease the Volcker Rule, which bars banks from high-risk activity for their own profit with depositors’ money. The high-risk activity is known as proprietary trading, according to the Associated Press. 

The proposed changes would match the strictest applications of the rule to banks that do the most trading – those with $10 billion or more in trading assets and liabilities. Banks that do less trading would have less stringent requirements, Fed officials say.

The Volcker Rule aimed to defuse the financial risk-taking that helped trigger the 2008 financial meltdown.

Read more from The Guardian.