Lawmakers in the House and Senate this morning reached a compromise on a bill that promised sweeping legislation and that President Obama is hailing as the toughest financial reform to pass since the Great Depression in the 1930s. The president said in a speech this morning that the bill contained "90 percent of what I proposed when I started this fight."

While the legislation is certainly a political victory for President Obama, some are also proclaiming a victory for the banks, which were supposed to be weakened by the bill. While the banks will certainly face greater costs in doing business, banking analyst Dick Bove explains that the banks will simply be able to pass these costs onto the customer.

One of the most debated provisions was an amendment that was supposed to severely limit the amount of capital banks can invest in hedge funds and private equity. However, lawmakers reached a compromise that allows 3% of the banks' tier-1 capital to be marked for these investment allocations  at any time.  According to their most recent balance sheets, that would mean about $4 billion for JPMorgan Chase (NYSE: JPM) and about $2 billion for Goldman Sachs (NYSE: GS). Mr. Bove suggests this amendment will have no effect on banking operations.  "Who cares? They don't put more than 3 percent anyway," he said.

Do you feel that the financial regulation was harsh enough, or was it just a slap on the wrist for banks -- as usual? What banks will this bill affect most? Investment banks like Goldman Sachs, or money-center banks like Citigroup (NYSE: C)?

Andrew Bond does not own shares in the any of the companies mentioned. Try any of our Foolish newsletters today, free for 30 days. The Fool has a disclosure policy.