Ethics in Finance

John R. Boatright is the Raymond C. Baumhart, S.J., Professor of Business Ethics in the Quinlan School of Business at Loyola Universi­ty Chicago, and Director of the Baumhart Center for Social Enterprise and Responsibility. He is the author of the book Ethics and the Conduct of Business (2012) and the editor of Finance Ethics: Critical Issues in Theory and Practice (Wiley, 2010). He is a past President of the Society for Business Ethics, and he serves on the editorial boards of Business Ethics Quarterly, Journal of Business Ethics, and Business and Society Review. He received his PhD in philosophy from the University of Chicago.

• Preface viiAcknowledgments ixAbbreviations x1 Finance Ethics: An Overview 1The Need for Ethics in Finance 2The Field of Finance Ethics 132 Fundamentals of Finance Ethics 26A Framework for Ethics 27Agents, Fiduciaries, and Professionals 40Conflict of Interest 453 Ethics and the Retail Customer 63Sales Practices 64Credit Cards 78Mortgage Lending 96Arbitration 1084 Ethics in Investment 120Mutual Funds 121Relationship Investing 141Socially Responsible Investing 148Microfinance 1555 Ethics in Financial Markets 171Fairness in Markets 172Insider Trading 182Hostile Takeovers 189Financial Engineering 2016 Ethics in Financial Management 223The Corporate Objective 224Risk Management 234Ethics of Bankruptcy 243Corporate Governance 254Index 273