The deleverage of the banks caused by the new rules will not eliminate Wall Street risk taking. As the article states many of the top proprietary trading desks are already moving to Private Equity and Hedge Funds. This will only serve to hide the risk taking from the scrutiny of the public eye. Despite the recession there are billions of dollars looking for an above market return.

Through Private Equity and Hedge Funds Wall Street will find a way to meet this demand. It will simply adapt itself to the new rules, finding new ways to take new risks.

Greed will always find a way…