Financial Conduct in Banking

Project Start:01/2014
Researchers:Günter Franke, Thomas Mosk, Eberhard Schnebel
Category: Financial Intermediation, Law and Finance
Funded by:LOEWE

The task force focuses on observed misbehavior of banks in their retail business. This behavior is grounded in information advantages of banks relative to customers regarding financial products, strategies and financial markets. The task force discusses potential remedies to misbehavior, including information on financial products, restraints on complexity of financial products, internal organization of banks – including constraints on behavior of bank employees, incentive systems, and reputation mechanisms. The task force aims to find out weaknesses of MIFID II and to suggest changes to implement it more effectively by addressing potential gaps and overregulation.

Related Policy Publications

Günter Franke,
Thomas Mosk,
Eberhard Schnebel
Fair Retail Banking: How to Prevent Mis-Selling by Banks
White Paper No. 39