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31 December, 03:58

Is it unethical for a company like Goldman to permit its managers to trade on the company's account (i. e., invest on the company's behalf rather than an external client's behalf) ? If not, how should policies be designed to prevent conflicts of interest from arising between trades on behalf of the firm and trades on behalf of clients?

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  1. 31 December, 07:44
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    yes. it is unethical. many malpractices such as,

    possibility for theft, insider trading, short selling fraud

    could arise as a result of this. only the highest authoritative figures like CEO or CFO should be allowed to do that with transparency and accountability.
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