Bernie Sanders Unveils ‘Too Big to Exist’ Bank Breakup Bill

“If an institution is too big to fail, it is too big to exist,” Sen. Bernie Sanders, an independent running for 2016 Democratic presidential nomination, says in statement on bill to break up biggest U.S. banks.

  • Measure would give regulators 90 days to identify commercial and investment banks, hedge funds, insurance cos. whose collapse would have “catastrophic effect” on financial system or U.S. economy without “substantial” govt aid
  • Sanders says list “would have to include” Bank of America, Bank of New York Mellon, Citigroup, Goldman Sachs, JPMorgan, Morgan Stanley, State Street and Wells Fargo
  • Largest banks 80% bigger than yr before 2008 crisis, when Fed provided $16t in near zero-interest loans and Congress approved $700b emergency funds: Sanders
  • Rep. Brad Sherman, D-Calif., is proposing House version of bill
  • NOTE: Sanders has previously introduced the legislation
  • NOTE: Sens. Elizabeth Warren, D-Mass., and John McCain, R-Ariz., have called for creating modern version of Glass-Steagall Act, the Depression-era measure separating commercial and investment banking that was effectively repealed in 1999
Related: America’s Socialists Say Bernie Sanders Can Advance Their Cause

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