Which of the following statements regarding recent bank regulatory initiatives is true? Basel III regulation focuses on setting minimum requirements for capital and liquid assets in order to control risk. This is a true statement. Basel III deals mainly with the prudential management of banks and that includes looking at the banks having enough capital and liquidity in order to control their risks. True statement. Next one, up. The Volker rule limits deposit taking banks' ability to do proprietary trading. That is also a true statement. This is exactly what the Volker rule does. Should be noted here that pretty much all big investment banks take deposits so they will all be affected by the Volker rule. Next one up, MiFidII regulation focuses on setting minimum requirements for capital and liquid assets in order to control risks. This is a false statement. This statement refers to Basel III. MiFidII is a broad initiative that deals with the infrastructure and transparency of the whole market. And then the final statement here, Dodd-Frank effects almost all parts of the financial services sector in the US. That's also a true statement.