Recently there have been many concerns that significant capital market activity has moved from U.S. markets to non-U.S. exchanges. Recent studies have suggested regulatory burdens and legal risk are the main causes for driving activity to competing global markets.

To help ensure business does not migrate to non-U.S. financial centers, globally harmonized regulatory framework is critical. Regulation in light of the financial crisis should discourage regulatory arbitrage and ensure that all major financial centers are operating under similar rules.