Information About (Trading) Cartel?

1. DO YOU WORK WITH (TRADING) CARTEL? At least outwardly, the giants of investment banking — the big Wall Street titans and other financial institutions (FIs) — are rivals, competing over customers, returns, trading talent, and more. But over the years there have been multiple cases in which banks have been accused, and found guilty, of colluding or price rigging in conjunction with one another. For example, in May 2021 seven FIs, including Bank of America, Natixis, Nomura, RBS, UBS, UniCredit and WestLB, were found guilty by the European Union of colluding in a way deemed to hurt EU Member states. Three of the FIs were fined a collective total of $453 million for their part in the wrongdoing. Cartels in action This kind of sharing of illicit information — frequently using electronic communications for coordinating the behavior — is frequently referred to as being a cartel. While the name “cartel” might summon up images of drug-running outfits and gangland activity, it refers to any collection of independent businesses which collude with one another in a way that manipulates prices of a product or service. The right tools to defend against cartels Cartels are bad news for customers, but they’re also bad news for firms. When discovered, they can result in heavy fines for the firms involved — even if they may have not been aware of the existence of the cartel. In some cases, it may only be a small number of bad actor traders acting in isolation but can nonetheless result in multimillion-dollar fines or other penalties. In 2019, the European Commission fined FIs including Barclays, Citigroup, the Royal Bank of Scotland, JPMorgan, and Japan’s MUFG Bank a massive 1.07 billion euros ($1.2 billion). HTTPS://WWW.SHIELDFC.COM/