Today the FCA fines 5 banks a collective £1.1 bn, the largest fine ever imposed, for misconduct in the foreign exchange markets. It states that the banks put "their interests ahead of their clients" and behaved "unacceptably".
This is another fine example of why ethical behaviours are so important to business. Without them an organisation is at risk of both large direct costs (the fine itself), huge reputational damage and a continuing erosion of trust ( much harder to rebuild than lose) and regulatory interference and scrutiny (the FCA will be undertaking an "industry-wide remediation programme on root causes") which damages and impacts the whole of the sector.
It is therefore a competitive imperative not only to act ethically but also to take the lead in engendering responsible behaviours and ethical business practices for the benefit of the whole sector. Whether you're one of the banks directly involved or nor, the result is that all banks are maligned and damaged. This is something their leaders should a give a xxxx about.
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