Kong Tai Wai David
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The stock trading of Federal Reserve's officials has recently drawn public outcry and sparked ethical concerns. While the trades did not seem to directly violate any legal boundaries, it has raised the possibility of how Fed officials could be at a financial advantage in trading based on the access to sensitive information they would have on account of their positions. This controversy subsequently led to the pledge by Federal Reserve chief Jerome Powell to consider tightening its ethics rules as public trust is deemed to be very important for the Fed to effectively carry out its mission. It is no easy task for the Fed to regain the trust after such untimely investment revelations. Further questions about the Fed's conflict of interest policies and the oversight of Fed officials have been raised. There is now a sense of urgency to enhance Fed accountability and transparency to handle the situation well before public trust is further eroded, which could have long term implications on the American public confidence of the system. To safeguard their investments, individual investors should attempt to minimise information asymmetry by gaining more visibility into the companies they are investing in and discerning the difference between optics and reality since companies will always have the natural tendency to manage optics.
$Alibaba (BABA.US)$
$Alphabet-A (GOOGL.US)$
$Amazon (AMZN.US)$
$Apple (AAPL.US)$
$Boeing (BA.US)$
$Chevron (CVX.US)$
$Delta Air Lines (DAL.US)$
$Pfizer (PFE.US)$
$Alibaba (BABA.US)$
$Alphabet-A (GOOGL.US)$
$Amazon (AMZN.US)$
$Apple (AAPL.US)$
$Boeing (BA.US)$
$Chevron (CVX.US)$
$Delta Air Lines (DAL.US)$
$Pfizer (PFE.US)$
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Kong Tai Wai David
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$Tesla (TSLA.US)$ omg to enter or not?
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