Recently, the UK's top financial regulator, Hector Sants quit. His final words had been he wished 'bankers had been more honest'.
This was while speaking to the Said Business School. Mr. Sants - who was the chief executive of the FSA from July 2007 to July 2012 and worked in Investment Banking for most of his life - clarified that he did not mean most bankers had deliberately lied to him. But he did say they were often 'self-delusional' about the risk they were taking.
Mr. Sants was part of a debate on trust in financial markets. He wanted to restore trust and see the abolition of what he called "revenue-related incentives" or pay for the bankers that was directly related to the revenue generated. This is to eliminate temptations to engage in bonus-generating deals that could end up being toxic.
The new executive of Barclays, Anthony Jenkins, recently stated that staff would not be receiving bonuses depending on the volume of products. But even now, many bankers are still paid for their sales rather than customer relations.
Mr. Sants also asserted his desire for a new code of practice in the industry.
This was while speaking to the Said Business School. Mr. Sants - who was the chief executive of the FSA from July 2007 to July 2012 and worked in Investment Banking for most of his life - clarified that he did not mean most bankers had deliberately lied to him. But he did say they were often 'self-delusional' about the risk they were taking.
Mr. Sants was part of a debate on trust in financial markets. He wanted to restore trust and see the abolition of what he called "revenue-related incentives" or pay for the bankers that was directly related to the revenue generated. This is to eliminate temptations to engage in bonus-generating deals that could end up being toxic.
The new executive of Barclays, Anthony Jenkins, recently stated that staff would not be receiving bonuses depending on the volume of products. But even now, many bankers are still paid for their sales rather than customer relations.
Mr. Sants also asserted his desire for a new code of practice in the industry.
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