A piece of legislation that increased government oversight of trading in complex financial instruments such as derivatives. The Dodd-Frank Financial Regulatory Reform Bill was named after Senator Christopher J. Dodd and U.S. Representative Barney Frank. It restricts the types of proprietary trading activities that financial institutions will be allowed to practice. The Dodd-Frank Financial Regulatory Reform Bill was passed with the intent of preventing the collapse of major financial institutions such as Lehman Brothers from happening again.   



|||Following the 2008 near-collapse of the U.S. economy, which was fueled by the crash of the housing bubble, the Dodd-Frank Financial Regulatory Reform Bill established restrictive measures in an attempt to prevent such events in the future. In order to protect unsuspecting borrowers against abusive lending and mortgage practices, the reform bill established government agencies to monitor banking practices and oversight of troubled financial institutions.