WASHINGTON—U.S. regulators are planning to make “material changes” to the Volcker rule that could save Wall Street billions of dollars. The changes would reduce the compliance burden and give banks more flexibility in their trading activities.
The Volcker rule is a provision in the Dodd-Frank Act, a massive compilation of banking regulations enacted in 2010 by the Obama administration. The provision prohibits banks from engaging in risky market bets with their own accounts and limits their relationships with hedge funds and other private funds.
