115 CFA
File: Equity Investments - Reading 36 - 9. Market Regulation

9. Market Regulation

l. describe objectives of market regulation.

What are the six objectives of market regulation?
1. Control fraud
2. Control agency problems
3. Promote fairness
4. Set mutually beneficial standards
5. Prevent undercapitalized investing firms from exploiting their investors by making excessive risky investments
6. Ensure that long-term liabilities are funded

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