Since the US Congress legislated to separate investment banks from traditional banking business in 1930s, these adventurous Wall Street investment banks have helped the US economy to create brilliant achievements. In the United States, with the development of enterprises and the change of capital structure, American enterprises rely on investment banks to solve the long-term capital problem to a great extent. Wall Street's investment banks play an important role in the financial market, known as the "clockwork of Wall Street", and rely on the process of globalization to make waves in the world capital market.

The brilliant achievements of investment banks make it a symbolic model of modern Wall Street. In the modern international capital market, the "financial innovation" activities of investment banks are changing with each passing day. In order to pursue greater profits, the "genius" adventurers of Wall Street investment banks continue to develop financial tools and create various new mortgage products. However, these new products, which can bring high profits to banks, are accompanied by high risks. Under the great temptation of profits, investment banks go further and further, risk control fails, government supervision fails, extremes will be reversed, and disasters are inevitable.

With the intensification of the financial crisis, the issue of government supervision has become one of the focuses of the US presidential campaign. Democratic presidential candidate Obama sharply criticized * * * and Republican presidential candidate John McCain's position in defending less regulation. Obama also named McCain's campaign adviser, former Texas Senator Phil Gramm, as the "architect" of the US Senate who advocated deregulation and led to this crisis.

The financial turmoil on Wall Street exposed the drawbacks of the American financial system. The complete collapse of the five major investment banks indicates that the independent investment banking model that modern Wall Street is proud of and depends on has come to an end. This is a heavy blow to US Treasury Secretary Timothy Henry Merritt Paulson, who has been trying to maintain the existing structure of Wall Street. For Wall Street investment bankers who used to be "real elite", "no choice but to spend money" is probably a true portrayal of the current gloomy mood.

The feast of Wall Street investment banks is over, and the glory of Wall Street is finally over. However, it was the US government and taxpayers who cleaned up the mess, and other governments and taxpayers who were innocently involved in the spread of the financial crisis and the arrival of the economic recession.

Today, almost all the parent companies of large American financial institutions will be under the supervision of the Federal Reserve. Who will be the winner in the changing Xinhua Second Street? Private equity firms and hedge funds such as Blackstone are waiting for the dust to settle. ...