Eisman Says Cohn Should Have Studied Clearinghouse Issue

The transcript discusses the concerns about transparency and liquid assets in clearing houses, with Gary Cohn suggesting a potential systemic problem. The speaker disagrees, emphasizing the need for a Treasury study before forming opinions. The conversation shifts to bank failures, regulation, and the swaps market, highlighting the reduced production of credit default swaps due to higher capital requirements. The speaker questions the validity of Cohn's concerns without proper study.

What is Gary Cohn's main concern regarding clearing houses?

• Increased competition

• High transaction fees

• Technological advancements

• Lack of transparency and liquidity

According to the speaker, what should be done before forming opinions on clearing house issues?

• Increase capital requirements

• Implement new regulations

• Consult with international banks

• Conduct a thorough study

What is the main distinction made between big banks and other financial entities?

• Other entities have higher capital requirements

• Other entities have more transparency

• Big banks were responsible for large financial losses

• Big banks have better technology

Which type of swap is mentioned as having been around for a long time?

• Credit default swaps

• Interest rate swaps

• Commodity swaps

• Currency swaps

Why are credit default swaps less manufactured today?

• Technological limitations

• Lower demand

• Higher capital requirements

• Regulatory bans