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How the Trading Floor Really Works
book

How the Trading Floor Really Works

by Terri Duhon
October 2012
Beginner
368 pages
10h 4m
English
Bloomberg Press
Content preview from How the Trading Floor Really Works

Conflict of Interest

One of the big issues around the research analyst role has been the conflict of interest issue. This was a high-profile issue in the late 1990s when there were some questions raised about the fact that a research analyst at a bank had been paid off the back of the fees that the bank made on an initial public offering (IPO) for a client. The research analyst was very well known and his research was well distributed. He had written a buy recommendation for the shares of the IPO. The conflict of interest issue was considered significant in this case due to the very large bonus he was paid which had been attributed to the high-profile IPO. At the time this was an open secret in the financial markets. Every bank about to issue ...

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Publisher Resources

ISBN: 9781119966029Purchase book