Mary Jo White warned lawmakers of her significant investor protection concerns.
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It is sometimes forgotten that the biggest bank takeover of all time -- the three-way acquisition of ABN Amro back in 2008 -- was triggered by an ABN break-up agenda pushed by activist hedge fund TCI.Banks do not seem to be targeted by activists any more. Aside from halfhearted swings at HSBC and UBS by Knight Vinke, and the odd special case, activists have shunned big banks, despite existential challenges and huge share price discounts (Deutsche Bank's price-to-book value is still unsustainably sub-50 per cent).Banks are busy doing what activists would have demanded anyway: cutting costs, ditching assets.That might not sound much compared with the $8.6tn on the books of the four biggest banks in the Uniter States.Earlier, RiverNorth Capital took 6 per cent of another, Fifth Street Finance. And the activists are attacking the big gap between the funds' net asset value and their share price.
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