Senate Banking Committee Chairman Christopher Dodd, D-Conn., announced he will not seek re-election to the Senate this fall.
In a statement today, the 30-year Senate veteran said he had decided it was his “moment to step aside.”
Among the major pieces of unfinished business for Mr. Dodd, who unsuccessfully ran for the Democratic presidential nomination in 2008, is wide-ranging draft legislation to reform the nation’s regulation of the financial industries.
The draft, which has yet to be voted on by the committee, would require large hedge funds to register with the SEC and authorize the agency to help fund its operations through transaction fees assessed on stock and bond sales. In addition, Mr. Dodd’s draft legislation would shift about 4,200 of the roughly 11,000 SEC-registered money managers with less than $100 million under management to state regulation.
“Chairman Dodd is going to remain a key figure in the regulatory reform debate,” said David Tittsworth, executive director of the Investment Adviser Association. “If anything, I would predict that his announced retirement will only make him even more motivated to get regulatory reform done this year.”