PitchBook Analyst Note: The Revised Volcker Rule

On October 1, 2020, changes to the Volcker Rule will go into effect in an attempt to simplify the banking regulations that came out of the 2010 Dodd-Frank Act. Based on a suggestion made by former Federal Reserve Chairman Paul Volcker, the original rule was intended to curb a number of banking activities that many believed exacerbated, if not caused, the global financial crisis. In this note, we explain the back story of the Volcker Rule as well as delineate and analyze the 2020 modifications.