Subject
Ethics and governance
Program
Bachelor’s degree (BBA)
Location
Côte-des-Neiges
Instruction mode
Credits
3
Description
The course addresses the ethical and regulatory aspects of business conduct in capital markets, in general, and in the securities industry in particular.
The aim of the course is to:
- Understand the ethical issues in finance and comprehend the importance of sound practices in order to promote equity and efficiency in capital markets.
- Understand the importance of regulation in the securities industry and capital markets.
- Gain knowledge of the impact of the regulatory process and framework on the operations and professional conduct in capital markets and the securities industry.
- Develop competencies in recognizing legal and reputational risks associated with wrongful or illegal practices and find solutions to minimize their negative impact on the conduct of business in finance.
- Take into consideration the ethical conduct as an essential success factor in the investment industry.
- Develop knowledge of the regulatory process and of the future direction of regulation in capital markets.
- Prepare students to pass the Canadian Securities Institute (CSI) exams and the CFA exam section on ethics.
Themes covered
- Ethics in finance (need for ethics in finance articulation of ethics in law applied ethics etc.)
- Theoretical aspects of governance (firm theory agency theory market efficiency hypothesis)
- Issues specific to the investment industry (investor protection standards of conduct fiduciary duty suitability conflict of interest MGNT - Management financial scandals and legislative reform
- Market integrity and efficiency issues (competence transparency insider trading etc.)
- Corporate finance issues (access to the capital market agency costs socially responsible investment etc.)
- Obligations towards providers of capital and other stakeholders of the firm (shareholder society / stakeholder society debate)
- Governance mechanisms involving shareholders company MGNT - Management and the board of directors
Important notes
Course in French : ETHI 20225
Prerequisite(s) : FINA 10200(A) and ETHI 10403(A)