S. 2237 (Dodd-Frank Wall Street Reform and Consumer Protection Act)

Section 2237 of the Dodd-Frank Act addresses the regulation of proprietary trading and certain investments by banking entities. It restricts banks from engaging in short-term proprietary trading of securities, derivatives, and certain other financial instruments, to reduce risky behavior that could jeopardize financial stability. The goal is to prevent banks from taking excessive, speculative risks with their own funds, which could threaten the safety of the financial system and consumers' deposits. This section is part of broader efforts to increase transparency, reduce risky activities, and promote a more stable and resilient financial sector.