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Europe edges ahead amid prop trading muddle

Unlike their US counterparts, Europe’s policymakers have not singled out proprietary trading for punitive treatment but the use of bank capital in trading operations is under threat

Investment banks have been cutting back on proprietary trading in Europe ever since the financial crisis struck four years ago.

Branded casino banking, the use of a bank's own capital to make bets on the market for fat profits, has become deeply politically unpalatable.

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