Monday, August 31, 2009

SEC warns on broker-dealer pay incentives

Interesting article about a moral incentive system and the regulation roles that the SEC must consider.

3 comments:

AaronSoltis said...

Interesting article on incentive systems. It is good to see that the SEC is trying to crack down on these immoral practices of brokers.

David Khoo said...

Such conflict of interest is a huge problem. Lawsuits have been filed against investment firms over securities that were sold to clients who were not properly informed of the risks.

Taleb Shkoukani said...

Good article to tie in with some of the topics we have covered in the course so far. It is necessary to regulate the incentive system firms adopt in order to make sure clients aren't taking advantage of.