MutualFundWire.com: Larry Fink Wants Wall Street to Be Part of the Solution

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Wednesday, October 10, 2012

Larry Fink Wants Wall Street to Be Part of the Solution

In an op-ed he wrote for the Wall Street Journal, Larry Fink urged both the financial sector and the government to restore the trust and certainty now missing in the financial markets.

Regarding the psyche of investors now, he writes,

Investors large and small are angry and cynical. For five years, they have consumed an almost daily diet of headlines pronouncing doom and gloom. Scandal after scandal in the financial industry has left many individual investors believing that the markets are stacked against them.

Fink urged a variety of initiatives, like educating younger workers to begin saving for retirement now and promoting awareness of the fact that, for all of its volatility, there is still life in the markets.

Most importantly, Fink told his fellow Wall Street execs that they all need to be seen to be part of the solution.

Continued progress, however, requires action from both the financial sector and government to restore the trust and certainty missing today. In the financial services and banking industry, we must be seen as part of the solution to what ails our markets, not the cause. This requires constructive engagement with regulators on mechanisms that, without choking off investment opportunity, introduce greater clarity for investors.