Ethics from an Investment Point of View Essay

854 Words 4 Pages
Ethics is especially important from an investment point of view because investors have lost confidence and trust in not only investment professional but also in financial markets in the past 50 years. This is due because of financial crisis, many people lost a lot of money and most of the investors thought that their investment people were not being honest with them. CFA Institute is trying to restore trust and confidence back in to the market, making people to be more ethical. In order to restore the investor’s trust the CFA has an integrity list that shows activities that any investment professional can follow in order to bring back the investors’ trust. Managers are worried about their new employees in the ethical point view, because …show more content…
Ethics is especially important from an investment point of view because investors have lost confidence and trust in not only investment professional but also in financial markets in the past 50 years. This is due because of financial crisis, many people lost a lot of money and most of the investors thought that their investment people were not being honest with them. CFA Institute is trying to restore trust and confidence back in to the market, making people to be more ethical. In order to restore the investor’s trust the CFA has an integrity list that shows activities that any investment professional can follow in order to bring back the investors’ trust. Managers are worried about their new employees in the ethical point view, because they do not want to hire a person that would embarrass a company. Good grades in college are very important for new employees, so it is ethical financial practices to apply for a job in a company.
Financial markets is where securities, options, stocks and commodities are traded. Investors and companies play different roles in the financial world. As the financial markets bring together two groups of people, investors or lenders that are people who has money and wants to have a cash flow. The other side are borrowers, which are most of the time governments and companies. They borrow money from lenders and pay interest rates to do so. The goal of the firms is to increase their value in the market, increasing shareholder’s wealth. Shareholders
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