There is much talk these days about ethics in business – as there should be, but there should be much more than talk there should be a high moral code for all executives who are responsible to both their customers and their shareholders.

I have been the president and CEO of one publicly owned company and also was president of an additional that was responsible to customers who traded equities. This carries a high responsibility to all concerned. You have to be much more than worried if you do some thing incorrect because you will go to jail. You should have the want to try to usually do your greatest for everyone who operates for you as nicely as all the customers or traders that deal with your company.

Ethics is supposed to be both black or white, right or incorrect, but these days it is numerous shades of grey. If any company does shady business you can be certain it begins at the leading and filters down because the president is the one who sets the instance for the actions of the entire company. This is as accurate for actions of our elected officials as it is for companies or people. We have had some fairly sorry examples of that in Washington.

Each time there is a new scandal the public appears much less disturbed. The current disclosure that mutual funds have been allowing hedge funds and other big traders to take positions after the closing bell is a brutal instance. Perhaps traders are not conscious that someone is composing checks on their account. This is stolen cash that is no various than a man with a gun holding up a seven-11 store. Sure, the one distinction is that the mutual funds have allowed hundreds of thousands of dollars to be siphoned off from these to whom they owed a fiduciary romantic relationship. The fund supervisor is a crook and deserves jail time. He just took the cash with a click of the pc keyboard and that was his weapon. White collar crime deserves the exact same punishment as the man with a gun.

When you give a brokerage company, a mutual fund or any monetary institution your cash you anticipate, in fact, you need, that they treat you fairly inside the guidelines of the industry. When you are brief-changed you should not take it.

Simply because of the huge quantities of cash available and accessible to people in the monetary industry it is easy to comprehend how they can be tempted into criminal actions. That is why all publicly traded companies are needed to have their books audited annually. Recently we have observed that even these audits are tainted.

Investors depend upon the numbers set before them in order to make decisions about owning stock in a company. If the info is dishonest a correct choice can’t be produced.

These days we are viewing an additional kind of corporate officer being produced. He is called the Governance Officer. It is his job to see that the company maintains high ethical requirements. I applaud this action and hope he can’t be seduced by large bucks.

Al Thomas’ book, “If It Doesn’t Go Up, Don’t Purchase It!” has helped 1000′s of people make cash and keep their earnings with his easy two-stage technique. Read the first chapter at http://www.mutualfundmagic.com and discover why he’s the guy that Wall Street does not want you to know.

Copyright 2005

al@mutualfundstrategy.com 1-888-345-7870