First, the quiet cheer: regulators seem to be moving on shadow banking. For one, the SEC is talking about a floating net asset value for mutual funds and thicker capital buffers, which has predictably set off a howl of protest from the industry.
And Reuters wrote:
Watchdogs to Drag Shadow Banks Into the Light
Then, the prediction:
There will be something in the fine print of the as-yet undetailed giant mortgage settlement that will elicit a chorus of "we let the banks off the hook for that -- what the hell?"