Regulation is meant to clean up bad behavior. But what if it just pushes it around? This paper explores how FINRA’s efforts to discipline “bad brokers” often lead to regulatory leakage—problematic advisors leaving one firm only to resurface elsewhere. The results reveal that misconduct doesn’t always end when regulators act; instead, it migrates. The study sheds light on why enforcement alone may not be enough to protect investors.
Regulatory leakage among financial advisors: Evidence from FI...
Continue Reading
Sign up for FREE to read the full article and access 124K+ alternative investment headlines.
Alternative Investment News