NEW YORK ( TheStreet) -- The Big Banks just aren't making loans like they used to.
To fill the gap created by regulations enacted during the recession that followed the 2008 banking crisis, asset management firms are increasingly making loans that were traditionally made by JPMorgan Chase (JPM) and Bank of America (BAC) . Two prominent asset management executives cited the trend during two separate conversations while at the annual meeting of Wall Street trade group SIFMA in New York this week.
The first came Neuberger Berman CEO George Walker in a morning panel discussion.
"We've been purchasing assets from banks who've been forced sellers as a result of Volcker or the increased capital requirements in helping to transfer those assets from levered bank balance sheet assets to pension funds and the like who are arguably better holders," said Walker, a second cousin of former President George W. Bush.
Volcker, of course, refers to the Volcker rule, one of the most controversial parts of the landmark 2010 Dodd Frank Act. The Rule aims to severely limit large directional bets by banks, whether through private equity or trading. It was the idea of former Federal Reserve President Paul Volcker, an adviser to President Obama.
The second comment from David Rubenstein, co-founder of The Carlyle Group (CG) , one of the world's largest private equity firms.