Opinion of the Glass-Steagall Act

[Torie]

It's repeal was a horrible idea. I don't like the idea of banks getting into investment banking and mutual funds, both of which they do singularly poorly, in part because the salaries are low. The dumbos that hawk securities in branches make my skin crawl. Some cute chick got my brother to buy a muni bond fund with a sales load (for the chick), when he was in a 15% tax bracket. I asked my brother why he didn't consult with his brother with an MBA first, and he said, I called, but you didn't answer. I told him that he was just as dumb as the chick and maybe he should ask her out for a date, since they seemed to have a lot in common. Anyway, I unwound the transaction after getting my whip out, but it took a few hours.  

And I have not even got to the matter of the government basically having to bail out failed banks these days, and so we have a moral hazard problem as well. The only things banks should invest in other than making loans, is T Bills, and certainly not be hawking investments to others. That is all they are really capable of. Investing in T Bills.   Bankers are the betas of the investment world. Write that down.

On this issue, the Left is right. Totally right.