SocGen feels the wrath of the FSA
The Financial Services Authority (FSA) has confirmed a £1.575 million has been handed out to financial investment giant SocGen with claims that 80% of trades carried out by the company were inaccurately reported over a two-year period. A total of 18.8 million trades, between November 2007 and February 2010, were misreported to the FSA although customers and investment markets were not impacted in any way.
The swift and accurate reporting of all trades in the UK investment arena is the backbone of the FSA's insider dealing department which monitors share price movements and suspicious trades. While there is no insinuation that any of the trades in question were misreported for any dubious reasons, the inaccurate information did not assist the FSA in tracking share price movements across the board. It must also be noted that clients of SocGen were not impacted by the misreporting of the trades and it is purely an administrative situation.
The FSA has come down very heavily on investment companies who either misreport trades or delay reporting for various reasons. It cannot be overstated how important accurate input from all investment companies in the UK is to the FSA's fight against insider dealing and market manipulation, something which is reflected by the size of the fine.
Share this..
Related stories
UK banks back in trouble
While the UK bailout may be proceeding as planned it has been revealed that those banks which have taken emergency funding from the government are not allowed to pay dividends to shareholders for 5 years, under EU laws. So while Lloyds Bank shareholders seem ready to cause trouble for the UK government it seems as though their fight may be futile. So what next?
This leaves the ban...
Is Investment Advice Worth It?
While money for future investment may be a little thin on the ground at the moment, the markets and the economy will rise once again at some stage. As more people than ever before are investing savings into the stock market (whether directly or indirectly) there is a growing belief by many that they can go it alone, they do not need professional advice. Is this really the future face of investme...
Read MoreThe most expensive ash cloud in history!
The International Air Transport Association has today estimated the loss to the industry at around US$1.7 trillion in relation to the Icelandic ash cloud. This is a massive blow for an industry which was already on its knees due to ever-increasing regulatory costs, low passenger numbers and a spiralling fuel price. It also emerges that British Airways lost around £20 million a day during the six-...
Read MoreIs Jarvis the first victim of government spending cuts?
The rail maintenance group Jarvis, once one of the U.K.'s largest construction companies, has today filed for administration after the company's debt situation became intolerable and secured creditors appeared to withdraw their support. The shares were suspended at 9.4 pence which gives the company a market capitalisation of just £20 million leaving the battered remains of a once prosperous opera...
Read MoreGlossary Of Investment Terms (C)
The following are useful investment terms beginning with ‘C’ Call Option A call option is an option which gives the holder the right (but not the obligation) to purchase an asset at a predetermined date (maturity date) for a predetermined price (exercise price). See also Put Option. Cancellation Period The period after signing a contract during whic...
Read More