Ethics, values, and social responsibility Essay

In the finance field thither atomic number 18 a number of respectable exhausts although many fill outs in this field atomic number 18 governed by law. Ethical issues in finance allow in individual conduct, monetary introduction operations and financial markets operations. In this field people argon trained to perform different duties and thus finance ethics is diversified. However, the top fin issues in this field include honesty and fairness, fraud, conflicts of beguile, discrimination and learning technology. honesty and fairness in this field has raised much dispute.Because of the intense disputation in the world, many people view the conditions in a transmission line to be similar to those in a game of sport or war and thus anything is enumerateed to be fair. On the other hand there be those who argue that not everything is considered to be honest and fair. This has therefore take to ethical issues in this field regarding what is honest and fair and what is no t. Conflicts of interest is chiefly observed in situations where an individual is placed in a determine of making a decision on whether to pursue personal interests or the interests of other individuals or line of work.Similar, it green goddess involve an organization making a choice on whether to pursue own interests or the interest of the society. The issue concerning fraud primarily entails the disclosure of valuable data which is vitally valuable for security. It also involves misrepresentation of material evidence intentionally. on that point are several(prenominal) types of fraud and this whitethorn include accounting, marketing and consumer fraud. favoritism is an ethical issue which merchantman involve an individual or a business. few individuals or businesses abuse others by enticing them and exploiting them.In plus to that it whitethorn include issues regarding travel rapidly, gender among others. To add to that there are about cases which involve equipment c asualty discrimination. In information technology, the issue entails the silence and confidentiality of information on matters concerning the employees and consumers. cover and confidentiality is inseparable in this field however there may be some cases where it is not go overd. This has therefore led to ethical issues concerning what is retirement. In addition to that there are ethical issues which involve nurseion of intellectual property. be The top five issues can be arranged in go down order as honest and fairness, conflict of interest, fraud, discrimination and information technology (College of Micronesia, n. d. ). Honesty and fairness are major issues since they affect all aims of an organization, and are much experienced by society. Furthermore, controlling this issue other issues give be taken care of. For instance, an organization which is honest and fair, issues concerning fraud, discrimination, conflict of interest and information technology are minimal. Analys is Honesty and fairnessIn the financial market fairness is taken to mean a level playing field for everyone. However, in most cases the playing field is unleveled and this can be attri plainlyed to issues concerning inequalities in the bargaining federal agency, possession of information, resources available, among others. Inequalities in the bargaining power and resources are considered to be ethical only when used coercively and violate rights and obligations (Frederick, 2002). This implies that individuals or organization are only allowed to use their advantages in ways that are considered fair to others.Additionally, individuals can use their resources to mother information which they are authorise to exploit to their advantage. This has made access to information an issue of investment thereby leading to inaccessibility to critical information by some individuals. To acquire information individual must invest adequate resources. Ethical issues swot up over accessibility of information, how the information should be distributed to visit equality. Fraud In sales concerning financial products like insurance policies, loans, mutual funds among others, use of ethical standards is a requirement.Hence businesses are given the mandate to ensure adequate material information is available. There are regulatory agencies which monitor prospectus for mutual funds, however, personal sales and advertisements can contain fictional or misleading information (Frederick, 2002). Additionally, this is an issue which has been observed in the origin market and in many businesses. Some individuals conceal valuable information to lure more customers to their businesses. For instance, in the stock market assets of a feature organization may be inflated or some of its liabilities may be concealed.This issue has led to large losings in many investment companies and to individuals (Frederick, 2002). Since assessing the risk and suitability for an investment has been made di fficult with brusk material information. Conflict of interest This is issue which is primarily observed in agents, fiduciaries and financial managers, in which the personal interest interferes with the interests of the organization or society. Agents and fiduciaries are given the mandate to act on behalf of others in exercising judgment, however, in cases where they stand to gain personally their judgments may be compromised.Additionally, financial managers are given the mandate to manage assets prudently and thus avoid employ them for personal gains however, in some cases conflict of interest might occur. For instance, watchfulness buyouts whereby a group of managers take a exoteric organization to be private are an ethical issue. This issue occurs mainly since the actions to be performed by an individual are not fully specified before the relations and thus an individual is given a wide range of options. In addition to that they are not closely monitored and evaluated. This ha s led to huge losses being incurred by individuals and companies.For instance, some banks have collapse and this was attributed to rogue traders (Frederick, 2002). Discrimination This issue observed mainly in financial products and it involves abusive practices of selling such as flipping and twisting. In flipping one loan is set backd by another(prenominal) for generation of additional fees. While in twisting, insurance agents persuade their clients to replace the existing policy in order to get commission (Frederick, 2002). Some financial institution abuse poor individuals by offering them loans of extravagantly interest and by adding little values to lure them.Furthermore, in some institutions there are cases of discrimination in employment on matters concerning race and gender. Information technology Maintaining privacy and confidentiality of information in many business has been difficult because of the cost of technology. As technology advances it becomes more expensive to ensure privacy of employees and clients information. Furthermore, with the increase in number of people of accessing the internet maintaining privacy and confidentiality has become difficult.This has therefore led to loss of confident by the public since they cannot trust some organizations to protect their personal information. Solutions and recommendations The issue of conflict of interests can be addressed by closely monitoring individuals and by ever-changing the structure of the relationship. For instance, the commissions can be focused mainly on exertion of the clients portfolios and not on the volumes of sales. Additionally, professionalism, trust and codes of ethics should be strongly emphasized in relationships in order to guarantee the combine from the society.Fraud and discrimination issues can be solved in courts. There are laws which were put in place in place to protect people against abuse or discrimination. For instance, the Employment Act protects employees agains t discrimination and harassment. Furthermore, the pre-dispute arbitrement agreement should be amended or individuals should avoid it. This agreement may have several advantages but denies adequate protection to investors. Maintaining privacy and confidentiality of clients and employees information require much funding.It is essential for organizations to invest more funds in acquiring knowledge and skills concerning privacy and confidentiality in the information technology. By ensuring privacy and confidentiality, public confidence will be build. Social responsibility is essential for ensuring ethical standards are maintained in the society. When making decisions, people should consider their effects to the society and to themselves. This will ensure that ethical issues are maintained. Additionally, since businesses cannot be trusted to maintain ethical standards, some laws have been passed to ensure kind responsibility.For instance there are laws concerning consumer safety and env ironment protection. This is a beat forward in ensuring ethical standards. Furthermore, there are some financial institutions which have developed and implemented strict policies that ensure ethical standards are adhered. For instance there are policies concerning privacy and confidentiality of employees and customers information. In conclusion, maintenance of ethical standards should not be the responsibility of an individual or an organization but should involve the whole society.By maintaining ethical standards the society and organizations will be protected from any harm and at the same time scorn conflict. Even though ethical standards vary from one society to another, they should be understood and maintained adequately.Reference listCollege of Micronesia, (n. d. ). Code of Ethics. Retrieved June 18, 2009 from http//www. comfsm. fm/dleeling/alo/force play/code_of_ethics. html Frederick R. (2002). A companion to business ethics. Edition 1. New York Wiley-Blackwell. pp. 154-59.