scarlet: a senator calls his revamp of dodd-frank a work in progress. banking committee unveiled his proposal on the federal reserve. he wants the fed to disclose more information to congress about his monetary policy. we have got an interview coming up later this hour and peter cook will speak with him. showtime and hbo getting a world from theirp though fight. a record 4.4 million people ponied up around $100 or more to watch about. justthan half $1 billion, tv processes. a championship fight indeed. virginichard branson's's group is getting into the game. it will take a run of what it calls participatory fitness events like running and cycling. runs the grouply behind the ceo marathon. the group will be headquartered here in new york. heat, it looking for is on the ice. the average price is the washoe -- washington capitals series, the highest price and it shall game in at least five years. game seven of the series of madison square garden tomorrow night. we know who you want to win. of course we know what i'm waiting until tomorrow. that will go hig

and let me say a word about dodd frank. senator warren has pointed out that, essentially, this tpa, fast track, another name for it, would be most likely for six years cleared -- six years. and there are some in europe who are negotiating not only with the transpacific, but with the europeans, a broad agreement. and i favor addressing these issues. but the -- the europeans want financial services placed within the negotiating. within the negotiations. and that could lead, arguably -- i don't think under this administration, but a future administration -- to efforts by the europeans to undo, or to force us to modify, dodd frank. and the administration says, well, congress would have to approve that. and is a matter -- it is a matter of sovereignty. but congress has to approve all major changes in negotiations. so to simply say, don't worry because it would have to be approved by congress, that is true of all major changes. and i think we don't want to leave open the possibility through the negotiations, that dodd frank could

the thought that this president would undercut dodd-frank, which he proposed and fought for, and which he has taken an enormous amount of heat from those of us who are in the financial service sector for parts of dodd-frank, is ridiculous. erik: why is it ridiculous? what if he has been persuaded by some of that criticism? what if he has decided for himself, i signed that bill, i think some of the criticism is valid and perhaps this is a way to allow something to some of those critics because they have a point? .ill: i know this president i spent a year with him as chief of staff. that is not in his agenda. reportedng -- you earlier about the actions taken by the justice department against banks. i don't think this president is going to do anything that is going to undercut dodd-frank and the ability of our system to improve the financial service sector. i do not believe it. pimm: william daley speaking with erik schatzker. still ahead, the fight between airlines and travel booking websites is taking off. a fight that may shape the future of the airline industry. betty: delta is withho

i fully support the regulations from dodd-frank on the big banks, but we should pass commonsense community banking reform right now. alix: speaking at the same thing, secretary linton weighed in on the risky behavior on wall street and the dodd-frank regulations on big banks. hillary clinton: i want to be a small business resident. the president who does make it easier to start and run a small business again in america, so it seems less like a gamble and more like an opportunity. cap to level the playing field for small businesses. alix: meanwhile, the controversy the clinton e-mails, government has proposed releasing 55,000 pages of her e-mails in january that came in response to request. continues to private e-mail account for official does this while at the state department. mark: senator elizabeth warren wants to trade -- wants to change the fast track trade bill to make sure banks of get a free ride. the proposal says any trade deal that includes provisions on bank regulation would not be considered under fast track. fast track allows the president to submit trade deals to congress wi

, that would provide the biggest changes to financial services since dodd-frank.s sat down with the senator is joining us. >> this would be the biggest piece of banking ledge like since dodd-frank financial reform in 2010. dodd-frank supporters say it helps to make sure taxpayers will never have to bailout big banks again. but some critics say it went too far. senator shelby said his bill would fix some of these problem and help customers save money. >> we're trying to give relief to the small and reasonable banks, they didn't cause systemic risk to the economy. secondly they are over burdens with regulation, trying to lift that burden, which costs a lot of money. >> will this bill, save money for consumers? >> absolutely, because everything is passed on to the consumer if the smaller banks have less overhead, having to comply with rules that should not have been put on them, it will be more profits for them, and less cost to the consumer. >> and last question, what are the changes you make in most gang area? >> -- in most mortgage area. >> they are complicated. t

warren says fasttrack trade bill could weaken dodd-frank regulations. her proposal stipulates any trade agreement would not be considered under fasttrack -- fasttrack allows the president -- be sure to tune into peter cook's interview with senator elizabeth warren 2:00 p.m. today on bloomberg television. erik: joseph stiglitz says there are worrying signs for the united states. he told bloomberg he's concerned about economic growth. states,pect the united when they revised the first quarter numbers, will show negative growth. increasing evidence that even the second quarter will be very weak, maybe in negative territory. far below the kind of recovery a lot of people expected. went on to say outside the united states a exit from the eurozone is less likely unless germany changes its approach to negotiations. if greece leaves, there will be serious global consequences. the government in greece is optimistic a deal on locking they allow funds will be reached. european creditors are not sure. yana sparrowhawk us said the two sides are almost there. close.i

changes coming to dodd-frank. it is back in markup today. financial rules on many of the nation's banks smaller ones, and rain in the fed. bill: the thought this president would under cat -- would undercut dodd-frank which she has taken an enormous amount of heat from those of us who are in the financial service sector for parts of dodd-frank is ridiculous. tom:brendan: it is a little more subtle. it only affects smaller regional banks. peter: they do not have much of a fight over this legislation. it does not affect them directly. it gives them a little more capital to work with. this is controversial. it is a rollback of dodd-frank. it is aimed at the smaller to mid size banks. this bill, and the view of democrats on the senate banking committee are looking for the alternative. the question is if they can find common ground. brendan: you have a strange relationship between senators brown and vitor. as it possible we could move forward on something that protects smaller banks? peter: i think it is possible. there will be an effort by others

his new bill that would be the biggest change to financial services laws since dodd-frank. >>> go to relief for pain. if you think tylenol and advil are interchangeable, think again. which to use when. >>> patriots pushback. tom brady suspended for four games for his role in "deflategate." he is appealing. but is the damage already done? super bowl quarterback joe theismann weighs in. we have a huge show because even when they say it's not it is always about money. melissa: you've got a deal. verizon buying aol for $4.4 billion. hoping the payment won't be made via dial-up. with the latest is fox business's own jo ling kent. >> nice one melissa. aol has come a long way since you got mail. verizon is buying the company for $4.4 billion, about $50 a share which is a 23% premium on the stock t will turn the largest u.s. wireless carrier to leading provider of mobile video content. ceo tim armstrong will continue to lead company at least for now. verizon announced it would launch a video service over the summer for mobile devices with hopes to increase revenue. according to reuters veriz

times" had the story recently a senate panel moves to weaken dodd-frank. the republican-controlled senate tickets for step towards fulfilling of promise about key parts of the 2010 dodd-frank law. what do they want to change? >> guest: is a good point and he gets back to tommy's question because it was voted on in committee on a straight partyline vote. 12 republicans in the senate banking committee voted for this deregulation bill. 10 democrats voted against it. it's unfortunate as almost every democrat said and it's a good example that the dysfunction of washington there are some provisions in the bill that would get 80 or 90 votes in the united states senate passed overwhelmingly in the present would support them yet what happens time and time again is wall street's lobbyists get their special interest provisions stuck in these bills and they try, literally try and glom on so it on so it prevents the smart intelligent things that would get 80 or 90 votes done and that is what should happen in the country and what should happen in the senate. you have wa

peter, would you call this a rewrite of dodd-frank?ll it not the complete rewrite but more than just a tweak and i think that is what senator shelby would call it as well. there are things a dodd-frank he really does not like and did not vote for the bill and he wants to see changes he says are really intended to spirit smaller banks medium-sized banks from having to face the kind of rules that the bigger banks were really intended to face. he said that dodd-frank overshot the mark and trying to bring it back in. for example, he would raise the trigger on what constitutes a systemically important financial institution and he is also exempting small banks of having to face the poker role. he would also make changes to regulators and oversight council and make it harder for them to reach into these non-wall street big banks and impose regulatory changes or bowls on them. he says he is making life easier for those of smaller institutions. democrats say it goes too far and they are promising to oppose it and offer an alternative today. unl

there isn't anything that would undo dodd frank. the fact that it could happen yes, it could happen through a very convoluted process. but you know how else could it happen? there is a republican house, a republican senate. if we had a republican senate and he said he wanted to repeal dodd frank, they could take it to the hill pass and it it could go into law. that's why this is intellectually dishonest. >> what about the contention that this in fact would put labor and environmental concerns and if we go down the road we may not be in. >> this is what we're talking about. everyone wants to pretend this is speculative like you haven't had trade agreements in the paxt they wanted to add the amendments to the fast track administration would require the president to be very clear about what the oversight would be. we negotiated with congress and they would at least explain it. as of right now we don't have that in the tpa. >> that's not true. >> so people are concerned about what might be the case in the tpp. no matter how many people

not just in dodd frank, but other ancillary bills. particular regulations need to be rolled back so community bankers can get on with the business they're good at and that his relationship banking. that are you disappointed when you went other community bankers actually mention this to members of congress, apparently were not listen to? >> that was disappointing. there were a number of recommendations we made six years ago that were not implemented that, had they been implemented, it would have been a much more robust recovery on main street america. main street on america has been slower than any recovery in the last century. becausethat reason is the pendulum swung way too far on the regulatory side. mark: we have some breaking news. let's go to julie hyman with more on this fifa scandal. julie: one headline that the federation of european football leagues barely calling for the postponement of the fifa presidential election. of acoming in the wake series of charges against fifa officials related to bribery and other corruption char

chairman not all of dodd frank has been implemented yet.being formulated right now. >> oh i know it better than most. >> yes. i think of the volcker rule for example, which has been you know kicked down the road. what's taking so long on that and do you expect it to be eventually introduced? >> i think the volcker rule is incomprehensible to the mind of man. you know the only way i think to implement it is to have dr. phil at your trading desk to ask you what were you thinking and what were you feeling when you made this particular trade. but put that aside, dodd frank is a completely complex piece of legislation. the sheer weight volume complexity, uncertainty of this load on the financial institution. there is a reason that we are mired in essentially two, two 1/2 percent gdp growth. that's one of the reasons the fed, they need to testify before congress and they need to tell us what's happening on the bond markets. >> on that point, to what extent can you just compel the fed chair to appear more often. are you doing this as a gesture of

he is not going to try and turn by dodd-frank. he needs to get a little bit of the clinton in him and get people in a room, talk them through ideas and get them on the same page. maybe. we will be back in a few. homer bloomingdale ceo will be joining us. -- former bloomingdale ceo will be joining us. ♪ erik: time now for top headlines. five of the world's biggest fans will have to pay billions of dollars to settle an investigation into currency rigging. citigroup, jp word -- jpmorgan, barclays, bank of scotland and ubs. ubs is paying more than .5 million in total for the case and a separate case involving interest rates. we have not yet heard from the other four banks. we will find out more at the justice department news conference at 10:00 eastern time. you can watch it live on bloomberg television. meantime, we are -- revamping the product line is working for target. they posted first-quarter earnings that beat estimates. target ceo ryan cornell has tried to get shoppers into his store with exclusive merchandise such as the lill

i fully support the regulations from dodd-frank on the big banks. common sense pass community banking reform right now. scarlet: it looks a the controversy over mrs. clinton's e-mails a secretary of state will spill over into the election year. the government is proposing releasing 55,000 pages of the democratic presidential candidates e-mails in january. that's in response to a request by vice news. mark: brace yourself for a busy memorial day travel weekend. low gas prices and improving gas inket -- job market are courage and people to hit the road. 32 million people will travel police 50 miles from home over the holiday weekend. that's the most in 10 years, up almost 5% from last year. those are your top stories we're following at this hour. scarlet: coming up in the next half hour of "bloomberg market day." for thell daley is all transfers of a partnership. we break down his new york times op-ed that says the trade deal will help the middle class prosper. scarlet: critics say the heads of the world's biggest banks are paid too much, head of jpmo

i think that is an example of the weak thing that is dodd frank. the rating agencies should be disconnected from the regulatory process entirely and we have not been able to do that. >> has the financial sector grown too big? does it have too much influence on the really economy? one of our audience members asks how much greater the financial sector became as a proportion of gdp in the latest crisis verses the 1920's? is that a sign finance is too big? >> there is a lot of answers saying yes. there have been a series of economic studies in recent years coming from the bank for international settlements coming from academics which do suggest that financial inflations not only reaches the point of declining returns but that in addition it can reach the point of negative returns so part of the issue is how big the financial system is. part is how politically influence it is and part is what kind of financial system do we want. we want a system that provides services to households and individuals that provides finance for entrepreneurs that funds start

hear from people on wall street all the time that there certain things that are different since dodd-frankber of regulations that have made it more difficult to engage in the kinds of risk activities that we saw before 2008. but by and large, the general problem is more unwillingness to enforce existing laws. it wasn't so much absence of regulation that was the problem in 2008, it was more of a failure of will on the part of the government. we have laws on the books that were perfectly sufficient in the late 1980's and early 1990's when we conducted over 1800 prosecutions and put 800 people in jail after the as a no crisis. we can do the same thing now if we want to with this or with robo signing or subprime mortgage fraud or in yet other dozen scandals at we just haven't done it. i think that is the main problem. it is a failure of will. i do hear from people that there is more seriousness now in the waning years of the obama administration, more willingness to go after the banks. amy: a new report from the corporate reform coalition called "still too big to fail" says since 2008 regulato

ministers insist greece come up with an economic aid.m plan before more a proposed revamp of the dodd-frankank reform act is called a work in progress. unveils proposal to toughen regulation of the federal reserve. disclosents the fed to more information about monetary policy. the bill would also remove some of the tougher restrictions from fall and medium-sized banks. showtime and hbo getting a world championship belt in the mayweather fight pair the company said today that a record 4.4 million people ponied up around $100 or more to watch the bout. than half $1 billion. that is just for a tv proceeds. that is what they call a championship fight. richard branson's virgin group says the new enterprise will take a run at what it calls participatory fitness events like running and cycling. you probably heard of the ceo because she currently runs the group behind the new york city marathon. the firm will be headquartered in new york. alix: unprecedented price for artwork at auction. a painting by pablo picasso brought a record $179 million last night here in new york. the spanish masters woman

the dodd-frank rules that have made banks hold onto their cash positions even more and that is creating this huge dislocation, they say, that is a coming crisis. do you share that view? byron: i hear it myself. they say it is very illiquid. hear it mostly in the high-yield segment. you can trade all of the treasuries you want. betty: is there a coming crisis there? byron: i don't look at is a crisis, but it is a difficult situation. eddie: where should treasury yields be? byron: only run 3%. long-term, the long-term treasury yield at six, i think it can go back to 3% with the present level of liquidity. betty: do you think we can get back to a 6% yield? byron: not anytime soon. betty: has oil stabilize? come back.ink it has if we do a deal with iran and the sanctions are lifted and they can sell a million barrels a day more than they are selling now, that could drive the price back down. otherwise, if there's no deal iran, theun -- with stabilize. good oil continue lower? byron: a lot of things are in place for oil to go lower. the inventory is high, speculation is high. the developing

i see many of these regulations right now in dodd frank.y industry, you would figure after the collapse that at least people on main street -- the ability to evaluate the properties for individuals to become important. however, my industry got so overregulated that close to 30% of the people left the industry and they were all the young people. the median age in my industry is currently 59. and we were supposed to have been paid a better fee, yet quite honestly, the very first elements of dodd frank, when they were implemented, placed a great deal of complicated overhead for us. and now, quite honestly, real estate -- when i got into appraising, there was that saying, you know, everyone knew what the value of the property was. now, no one knows what the value of the property because there is such a widespread of value in neighborhoods and there is literally -- i mean, it has gotten better, but there was literally chaos. host: ok tom, have to leave it there. guest: tom, you make a lot of great point. and you know that when the subprime bubbl

what is it about regulatory relief from dodd frank. and what about the issue of small mom and pop businesses that are having to get the same regulations as dodd- frank. and republicans have an opportunity to deliver that message. hillary clinton said yesterday she wants to be a small business president. and then a i am not sure minimum wage is something that the american people are expecting just by itself. >> elian, there is a interesting paradox in the fox news polls on the minimum wage. over half of the voters want to raise minimum wage even though if you do so you eliminate jobs. i suppose it is no wonder that the politicians say raise the minimum wage. we need to lift up everybody. >> it is a tricky issue. a lot of the protest are led by college professors. but the poll is important. but the public by and large does support a minimum wage increase. and with with regard to 2016 that's why the republicans will have to be careful with how they talk about this. and you saw scott walker talk about i want to talk about lifting the tide

senator elizabeth warren once to make sure any trade deal does not weaken dodd-frank bank regulation.oposal, a trade agreement that includes bag regulations would not be considered under fast track authority. that would force congress to vote yes or no on a trade deal without being able to amend it. we will have an exclusive interview with senator warren right here on bloomberg tv. the united states has charged six chinese citizens with stealing sensitive mobile phone tohnology and giving it their government. one of the suspects was arrested saturday after a flight from china. kfc is trying to update its image by bringing back its white suited and bearded founder, colonel sanders. the kernel has been dead for more than three decades so kfc's having someone else portray him in ads on television and social media. bouncing on the greek prime minister to make a deal. there has lately been a lot of talk on how this could be contained and not have too many ripple effects across the global economy. the nobel prize-winning economist is not so sure. he spoke this morning with bloomberg's franc

the president's former chief of staff says it is not going to weekend the dodd-frank law. >> the thoughthat this president would undercut takenrank, which she has an endorsement of heat from those of us who are in the financial service sector for parts of dodd-frank, is ridiculous. olivia: mitch mcconnell says he wants to vote on the fast-track trade bill this week. pimm: united technologies is talking to buyers -- potential buyers for its helicopter unit. boeing, lockheed martin and airbus. it makes the presidential helicopter known as marine one. olivia: millennials may become wall street's best friend. tobias laquon which. he says people move into their saving years between 35 and 39 and millennial's are almost there. this year millennial spot pass baby boomers as the largest population group. pimm: yahoo! may have a problem with uncle sam. the irs signaling it has concerns about person may or's plant -- about morrison mayor's land to spin off alibaba. olivia: cory johnson is with us from san francisco to do just -- to discuss. how good these potential changes damage yahoo!? cory: if

she is making a case that the trade deals that it threatens dodd-frank and bank regulations. i do not get the connection. i understand people against trade. i led the fight for nafta back in 1993. it did help the economy. are there negatives to trade? of course there are. other negatives of technology success, to employment, yes there are. understanding the complexity and trying to bring it together. that is why he is fighting so hard. he is trying to reengage us economically. if we look at the success china has had, we better do it. for many of us, it has been good. look at the market. everyone follows it. employment has -- unemployment has come down. expectations are a little more negative. it is probably a grade of a b minus. we have to put policies together. only congress can do this. not the fed. i find it interesting when people say if the fed changes and raises rates, somehow the economy is going to crater. if we are that bad, we have deeper problems. erik: whether it is issues like trade or banking is hillary clinton going to have to attack from the left to fend off p

negative at the same time the new congress tries to hold back -- role bank provisions of dog -- dodd/frank there are forces pushing in another direction with a history of financial scandals with the libor scandal in london the foreign exchange market the money-laundering scandal. banks have financial sanctions on iran and north korea scandal. the drumbeat keeps the case for financial regulation alive and reminds us that these events and not simply the actions of a few bad apples but there is a systematic problem of culture or as the economists would say of agency in financial markets that needs to be addressed by regulation. >> host: we should also talk about the real world with the consequences of but one last question that keeps coming up is the bailout. the fact that you said at the beginning we can cry and also laugh well little to look back i still think there is a lot of finger with the bailout of the bankers who were not deserving. we have a question if you are right to bail out the new brothers was right but it does create incentives in the system doesn't lead to worse problems in

that was passed to protect us, but the consequence of dodd frank is that 10 wall st banks too big tol have become 5 wall st banks too big to fail, and 3000 community banks have come -- have gone out of business. in industry after industry, the crushing weight of government complexity and power ensures that only the big, the powerful the wealthy, and the well-connected can deal with it. ladies and gentlemen, this is called crony capitalism. the answer is not more government. it is less government. [applause] we truly have reached a point in this country where the potential of the people of america is being crushed by the weight of the government of america. [applause] and that is why this is a pivotal point in our nations history, and that is why i am running for the presidency of the united states. [applause] people think we are losing that sense of limitless possibility and they are right. what they think we are missing now is leadership. so it is worth talking a moment about what leadership is. it is different than management. managers are people who do the best they can within the

. >> after fighting hard to protect dodd frank for years, democrats in the next few weeks could givelicans the very tool they need to dismantled dodd frank. >> think about the knowledge loeic of that. the notion that i had this massive fight with wall street to make sure we don't repeat what happened in 2007 and 2008. then i sign a provision that would unravel it? i would have to be pretty stupid. and it doesn't make any sense. >> this isn't just a fight over a trade deal. it is getting personal. this could come to a fight this week. the senate has scheduled the first the vote tomorrow. so it is good to have howard fineman and perry, the senior reporter. i'm fascinated. usualfully politics we're told, don't mention the president's name. >> he's violated another one of your rules. don't punch down. >> he's president. >> she is a senator. not, a freshman senator. so i think it is personal and i think the president is irritated that he will have to use a lot of political capital and he doesn't have that much to squeeze this through. the beginning of determining how much he will have to

. >> nick, the president's argument is, look, why would i try to undermine and dismantle dodd-frank, i worked hard to pass it? >> it's kind of brilliant. if it's so good, show it to us. it's not just a liberal thing. you conservatives and republicans complaining about this. she's saying, show us the money, what's in this. if it's so good, why is it classified. your average voter who might be cranky about trade deals is also wondering how come it's so secret. >> it's not secret and it's not classified. elizabeth warren can read every word of it right now. this is the standard way in which these trade deals are negotiated. they involve information that the various negotiating parties don't want public until the end. so richard, wolf, we're finding this president running into more difficult in this area than any president before him. >> at least with democrats. at least with a certain wing of the democrats. this is post -- post recession this is not a surprising argument for the left wing of the democratic party to take on. this president, were it not for the war in iraq, you would know

we're trying to make some common sense out of dodd-frank and it's going to be very difficult. >> senatorgood to have you on the show today. thank you so much for your insights. >> thank you. >> senator richard shelby there. >>> the economy, by some indicators growing at a snail's pace. what's holding back the american consumer? we'll talk with the ceo of wells fargo as we're looking ahead on "sunday morni you do all this research on the perfect car. gas mileage , horse power... torque ratios. three spreadsheets later you finally bring home the one. then smash it into a tree. your insurance company's all too happy to raise your rates. maybe you should've done a little more research on them. for drivers with accident forgiveness liberty mutual won't raise your rates due to your first accident. see car insurance in a whole new light. liberty mutual insurance. >>> welcome back. i'm with the wells fargo chairman and ceo john stump. we're in an economy that's sort of slow. tell us what's holding people back from taking out a loan and buying homes more. what do you think? >> well first of all,

she says this could be used on dodd-frank. he says, why would i do that? you read the argument, it reads -- it makes perfect sense logically. logic isn't going to be what drives it. the democrats are ideologically against it. mark: are you think it was smart or he did it because he is frustrated? john: i think he is frustrated. i don't think it hurts or helps him in terms of politics. even frustrated or liberated. there is part of him that has been want to say this kind of thing about elizabeth warren for a long time, we agree on a lot of things but she is not a deity, she is another politician. mark: the president is going to need a second act and some new strategy if he's going to win on this trade package. john: elizabeth warren may have been our lead topic but a new hampshire poll -- we decided to stop testing her as a potential presidential candidate who guess what happened to bernie sanders, he's alive. hillary clinton is still the candidate to beat in new hampshire but bernie sanders is up from 8% in february to 18% now. some polls revealed hillary'

we're trying to make some common sense out of dodd-frank and it's going to be very difficult. >> senator, good to have you on the show today. thank you so much for your insights. >> thank you. >> senator richard shelby there. >>> the economy, by some indicators growing at a snail's pace. what's holding back the american consumer? we'll talk with the ceo of wells fargo as we're looking ahead on "sunday morning futures." there's just one last thing to do: check with truecar. car prices change all the time for all kinds of reasons. but truecar pulls in the latest, most accurate data so i can be sure if i'm getting a great price. this is truecar. so if you have a flat tire dead battery need a tow or lock your keys in the car, geico's emergency roadside assistance is there 24/7. oh dear, i got a flat tire. hmmm. uh... yeah, can you find a take where it's a bit more dramatic on that last line, yeah? yeah i got it right here. someone help me!!! i have a flat tire!!! well it's good... good for me. what do you think? geico. fifteen minutes could save you fifteen percent or more on car insurance.

oversight counsel identified certain etfs and bond funds to be risky during times of stress the dodd frank law looks for productivities that could threaten the u.s. financial system. todd rosen blooj from s&p capital iq joins us now. what do you think, are sern etfs inherently more dangerous and could they pose in a time of stress a real risk to the financial system as the sfoc suggests? >> there are some that are riskier than others whether you talk about emerging bonds or stocks but plain vanilla etfs tied to the bonds are not risky and not a threat to the overall market place. >> so the retail investor who buys the more traditional etfs does not need to worry about that particular risk given the fact there is always risk in investing certainly, but as you mentioned, most etfs don't pose a systemic risk. >> right. like general electric and johnson and johnson are strong and so are those bonds and the etf that holds those underlying securities will have strong liquidity. if it doesn't trade that often, you might not be able to get out as quickly as you want to. but the good thing about et

if you look at something like dodd-frank, big piece of legislation regulation, ten bank's too big to fail became five thanks too big to fail 3,000 community banks of gone out of business. they can't handle the complexity. >> we will pick back up and a net but we are signing of the television portion of the program, thank you for joining us thanks to our audience. this will continue on line in our mobile apps, another 30 minutes more of questions for the studio audience, all that commercial free, thanks for watching, have a great night. >> good evening and welcome to our "conversation with the candidate" c reese. our guest this evening is for maryland governor republican bob ehrlich and tonight we get to know where bob ehrlich stands on key issues. i will be asking a few questions and after a break the studio audience will ask questions in a town hall style format but before that let's look at the candidate's biography. bob ehrlich was born in 1957 in maryland in a suburb outside baltimore, he studied political science at princeton university and cocaptain of the football team graduat

i saw this, oh, my goodness, didn't dodd-frank stop all of this?ou're asking me to stand behind all of these assets of all of these banks that we bailed out in the first place? now i'm still on the hook? >> yeah. you know gerry, i almost fell off my chair when i read this report this morning. what i was thinking, wait a minute, this is deja vu all over again. 10 years ago we were insuring all the mortgages and assets held by banks and investment companies. guess what, we're doing the very same thing. turns out 80, 90% of the new mortgages, gerri carry with them virtual 100% taxpayer guarranty of repayment. doesn't it sound like we've seen this movie before. gerri: oh, boy. >> people say these risks. these are small risks. freddie mac and fannie mae taking out record amounts debt, don't worry about it. that is exactly what they said eight years ago on the eve of the financial crisis. it is very disturbing. >> i heard all that before too. >> exactly. gerri: so we're guaranteeing 60% of the financial industry's total liabilities. we stand behind it. w

th republican-backed bill takes aim at the 2010 dodd-frank law and in addition eedsasing rules for smallks, it would increase scrutiny for the federal reserve and give a chance to redo a business before being classified as systemically important. >>> the securities and exchange commission announced fraud charges against an atlanta firm for its handling of the city's pension funds for police firefighters and transit workers. in an s.e.c. statement, the firm gray financial group, put pension fund clients into investments that did not comply with state law, and it collected more than $1.5 million as a result. >>> a bit earlier in the program we told you that hewlett-packard reported better than expected earnings. well the company also sold part of its business in china to a chinese company. this is viewed by many as a so-called win for the chinese government which has been concerned about cyber spying following the snowden revelations. ai men javers is in washington with more on t impacts. aman is this an example of the chilly relations u.s. tech companies have with the chinese? >> reporter

i see many of these regulations right now in dodd frank. my industry, you would figure after the collapse that at least people on main street -- the ability to evaluate the properties for individuals to become important. however, my industry got so overregulated that close to 30% of the people left the industry and they were all the young people. the median age in my industry is currently 59. and we were supposed to have been paid a better fee, yet quite honestly, the very first elements of dodd frank, when they were implemented, placed a great deal of complicated overhead for us. and now, quite honestly, real estate -- when i got into appraising, there was that saying, you know, everyone knew what the value of the property was. now, no one knows what the value of the property because there is such a widespread of value in neighborhoods and there is literally -- i mean, it has gotten better, but there was literally chaos. host: ok tom, have to leave it there. guest: tom, you make a lot of great point. and you know that when the subprime bub

we endorsed it before dodd/frank. we made our position extremely clear in comment letters to the sec in 2010 2011, 2012, 2013 as well as to the department of labor back in 2011 i guess when that went in. further, while the sec has not acted you should the authority granted to them by congress, it is worth noting the conduct with respect to retail investors both in retirement and non-retirement accounts have migrated toward the best interest standard. mercer noted that as well in his comments. the congressionally mandated regulatory organization which writes and enforces rules on beha half of the sec has been defining its rules in guidance related to 401(k)s and rollovers under regulatory notice to require brokers to put clients best interests ahead of their own. further, investor claims in arbitration routinely include a fiduciary duty component. i don't say this to argue we should stop here. rather to point out where we are today which often gets overlooked by policymakers but is already accepted by firms in their co

what warren and others say seven dodd-frank could be a threat. this president, they say we know he won't engage in the activities we don't like, but let's say in two years there's a president cruz and he negotiators a deal with the europeans that makes it zero to go to the tribunal court and overturn something like dodd-frank, if that's the case why not just get rid of the provision in the trade package. >> because, again, go back to the track record. there's only been 17 disputes brought to the united states. the united states has won all the ones that have gone all the way through ajude -- adjudication. it's a protection for our american companies. >> hunt: so elizabeth warren is wrong. >> i think she is. >> hunt: could china get into tpp in a few years? >> i think what's exciting is once the trade deal is finished and approved by congress it's open architecture so that other countries that can meet the high standards for 21st century trade can join. obviously, congress has to vote on each one of them. >> hunt: if someone wants to get in, they

dodd frank being one of them. a higher capital ratio. subsequently after leaving office to secure the financial system from another financial crisis? >> i think the system is a much more resilient, much stronger much more stronger system today than it was in the decade before the crisis. absolutely. significantly because these reforms put a huge amount more capital into the system put in place much tougher rules and risk taking. those are applied much more broadly across the financial system. they have the prospect. they are strong enough to have the prospect, if they're not eroded to buy this country a relatively long period of financial stability. not permanent. not forever because over time what happens is markets will find their way around those constraints. and they'll get eroded. but, a much more stronger much more stable system today. >> the enduring criticism of dodd frank went too far. when you look at the underperformance of the u.s. economy right now. 2% economy that should be in the 3s or 4s because it should be snapping back