Dr Costanza Russo: Law and Ethics in Finance Project group respond to Fair and Effective Markets Review
The Law and Ethics in Finance Project, co-founded by Dr Costanza Russo, responded to the Bank of England consultation on Fair and Effective Markets Review.
The consultation sought to assess the areas where fairness and effectiveness are currently deficient; the extent to which ongoing regulatory, organisational and technological change that has taken place since the financial crisis is likely to address these deficiencies; and, the further steps needed to help ensure fair and effective FICC markets. The Law and Ethics in Finance project response insisted on the need for higher standards of professionalism and for a sector-wide culture of ethics. According to the response, those standards should:
- be forward rather than backward looking,
- recognise the place of finance in society,
- be driven by aspiration,
- avoid giving rise to another layer of regulation,
- be pragmatic, market-based and international in approach, and,
- be seen as a badge of success.
The response also builds on an empirical study on codes of conduct in the banking sector carried on by Dr Russo et al.
The full text of the response can be found on the Bank of England website. The Bank of England is expected to present its final recommendations in June 2015.
About the Law and Ethics in Finance Project
The research project is part of the Institute for Regulation and Ethics and aims at investigating the possible pathways to change culture in the banking sector. Other members include senior judges and barristers.