Week 7 Case Study Example | Topics and Well Written Essays - 500 words

Week 7 - Case Study Example This seems to be to be like a secret society of sorts with the requirements being you must be rich and powerful within the world of finance. The fact that these nine people can change the prices, policies and procedures at any time to benefit themselves is wrong when it comes to the public trading arena. While the entire finance world has to goal of making money for their company and themselves, it should not be done to the detriment of the consumer. The consumer needs these products and should have the right to all of the cost information since they are paying for it and they should be entitled to these prices upfront and should be accompanied with an explanation if asked for one by the consumer. In short, there needs to be some oversight and regulations. 2. I do not believe that the secrecy in the derivative market should be allowed to continue. Something should be done to create transparency. I agree that buyers and sellers have a responsibility to learn about how derivatives work, but if the fees are kept secret, that is a problem. How can buyers and sellers be expected to participate if they don’t know all the costs? The trading of derivatives should be transparent in terms of costs and should not be managed by just a few who can make policies and procedures, as well as set the fees, for their own benefit. In any other industry, the costs of the product or service are made public to consumers and then consumers can determine what or if they purchase. There is no reason that the derivative market should be any different. I can understand that the nine people controlling this market would like to keep it so it benefits them and their companies; however, it is not good for the American public. It is taking advantage of people . This seems like it should be illegal. There are laws and regulations preventing this in other industries so why is the derivative market different? There doesn’t seem to be any reason why this market is