Oct. 31, 2022
October 31, 2022 I support this rule. The money, the shares, bonds and everything else are ultimately financed by the money of the people. When banks and other financial institutions make mistakes, the ones who suffer the most are the people. Thus, the people deserves to know how its money is used and for what reasons. The amount of money hidden in swaps and earned by them is not insignificant, for if it were, these institutions would probably consider them a waste of time. Which they do not. In fact, swaps have been used as a loophole to hide big positions (see Archegos). The biggest reason for hiding something, of course, is that it's either very risky, very illegal or both. In case of Archegos, the outcome could've been averted entirely, if there had been regular reports and checks regarding swaps in place. Of course, this should not only involve swaps but almost all other trades that banks and big-money institutions make. Creating these reporting mechanisms should not be much work with the amount of money these institutions have. Actually, these mechanisms should already be in place, since the institutions themselves need to know about these trades. It must just be a matter of sharing this information with the public, then. Time and time again, powerful people - however good their intentions might have been at some point - have abused the power given to them in one way or another. Transparency is, and always will be, key in preventing schemes and the abuse of power (in this case abusive trading), thus stopping bad actors.