Synopses & Reviews
A groundbreaking exploration of the critical ethical issues in financial theory and practice
Compiled by volume editor John Boatright, Finance Ethics consists of contributions from scholars from many different finance disciplines.
It covers key issues in financial markets, financial services, financial management, and finance theory, and includes chapters on market regulation, due diligence, reputational risk, insider trading, derivative contracts, hedge funds, mutual and pension funds, insurance, socially responsible investing, microfinance, earnings management, risk management, bankruptcy, executive compensation, hostile takeovers, and boards of directors.
- Special attention is given to fairness in markets and the delivery of financial services, and to the duties of fiduciaries and agents
- Rigorous analysis of the topics covered provides essential information and practical guidance for practitioners in finance as well as for students and academics with an interest in finance ethics
Ethics in Finance skillfully explains the need for ethics in the personal conduct of finance professionals and the operation of financial markets and institutions.
Ethics in Finance
is a ground-breaking work in the emerging field of finance ethics. Beginning with examples of the scandals that have shaken public confidence in the ethics of Wall Street, this book explains the need for ethics in the personal conduct of finance professionals and the operation of financial markets and institutions.
A broad range of practical issues in the financial services industry, investment decision making, and corporate financial management are explored, focusing on standards of fairness in market transactions and the duties of fiduciaries and agents in financial relationships. Among the topics covered are unethical sales practices, personal trading by fund managers, the socially responsible investment movement, insider trading and program trading, the abuse of bankruptcy, and hostile takeovers. Ethics in Finance also contains a critical examination of conception of the theory of the firm in finance and the financial objective of firms.
Ethics in Finance provides a rigorous analysis of ethical issues in finance that is suitable for students of finance and business ethics as well as anyone involved in financial activities.
Ethics in Finance is a ground-breaking work in the emerging field of finance ethics. Beginning with examples of the scandals that have shaken public confidence in the ethics of Wall Street, this book explains the need for ethics in the personal conduct of finance professionals and the operation of financial markets and institutions.
Provides a comprehensive overview of the ethical issues in finance.
The discussion of ethical issues is framed in terms familiar to people in finance.
Focus is on practical issues that confront people in all areas of finance and that arise in the developing government and industry regulation.
Among the many sources are court cases, regulatory actions, and industry reports.
The book contains an in-depth examination of the firm as a nexus of contracts and shareholder wealth maximization as the objective of the firm.
About the Author
John R. Boatright is the Raymond C. Baumhart, S. J., Professor of Business Ethics and Professor of Management in the School of Business Administration at Loyola University Chicago. He is the author of the textbook Ethics and The Conduct of Business 2nd ed., and the editor of a casebook Cases in Ethics and the Conduct of Business, both published by Prentice Hall. Dr. Boatright is a past-president of the Society for Business Ethics, and he serves on the editorial boards of Journal of Business Ethics, Business Ethics Quarterly, and Business and Society Review. A graduate of the College of Wooster, he received his M A and Ph D in philosophy from the University of Chicago.
Table of Contents
List of Abbreviations.
1. Financial Ethics: An Overview. The Need for Ethics in Finance. Ethics and Financial Markets. The Financial Services Industry. Individuals in Organizations.
2. Theoretical Perspectives in Financial Ethics. Equity and Efficiency. Fiduciaries, Agents and Professionals. Agency Theory. Philosophical Ethics.
3. Ethical Issues in Financial Services. Sales Practices. Churning, Twisting, and Flipping. Arbitration. Personal Trading.
4. Ethical Issues in Investment Decisions. Bank Lending Practices. Socially Responsible Investing. Relationship Investing. Investment and the New Finance.
5. Ethics in Financial Markets. Insider and Program Trading. The Ethics of Bankruptcy. Hostile Takeovers.
6. The Financial Theory of the Firm. The Theory of the Firm. The Firm as a Nexus of Contracts. Ethical Implications.