Sunday, October 2, 2011
The Moral Responsibilities of Investment Bankers, by Richard W. Painter, University of Minnesota Law School, was recently posted on SSRN. Here is the abstract:
This paper, presented as the annual law review lecture at St. Thomas University Law School, explores the moral obligations of investment bankers in light of the 2008 financial crisis. Topics such as disclosure to investors, the safety and soundness of investment banks, excessive risk taking, responsible use of derivative instruments, and banks’ responsibility to the community and to the financial system as a whole are discussed as issues of personal responsibility for investment bankers rather than only as subject matter for regulation directed at banking institutions. The particular perspective discussed in depth is grounded in Christian social teaching but the paper also offers insights on how the moral responsibility of investment bankers can and should be approached from a range of religious and secular philosophical perspectives.