Strategies of Financial Regulation: Divergent Approaches in Conduct of Business Regulation of Mis-Selling in the UK and South Korea

This book analyzes different strategies and their results in implementing financial regulation, based on a comparative study of conduct of business in the UK and South Korea. It concludes that purposive rules are more effective, but a rule-making system with purposive rules requires trust. Enforcement strategies should combine compliance-oriented and deterrence-oriented approaches, and regulation should be instituted as the minimum requirement in private law.

Format: Paperback / softback
Length: 363 pages
Publication date: 05 December 2021
Publisher: Springer Verlag, Singapore

This comprehensive book delves into diverse strategies and their outcomes in implementing financial regulation, encompassing rule-making, public enforcement, and private enforcement. The analysis is rooted in a comparative study of the conduct of business regulation regarding mis-selling of financial instruments in the UK and South Korea. It expands to cover liquidity regulation in the banking sector and credit rating agency regulation. The book reaches a compelling conclusion that while rule-making through purposive rules is highly effective in achieving regulatory goals with minimal undesirable consequences, its success hinges on a foundation of trust among rule-makers, enforcers, and regulated entities. Regarding public enforcement, a balanced approach that combines compliance-oriented and deterrence-oriented strategies is essential, with the ability to continuously adjust these strategies based on rigorous monitoring of regulatory outcomes. Moreover, private enforcement should be mandated as a minimum requirement in private law.

This comprehensive book delves into diverse strategies and their outcomes in implementing financial regulation, encompassing rule-making, public enforcement, and private enforcement. The analysis is rooted in a comparative study of the conduct of business regulation regarding mis-selling of financial instruments in the UK and South Korea. It expands to cover liquidity regulation in the banking sector and credit rating agency regulation. The book reaches a compelling conclusion that while rule-making through purposive rules is highly effective in achieving regulatory goals with minimal undesirable consequences, its success hinges on a foundation of trust among rule-makers, enforcers, and regulated entities. Regarding public enforcement, a balanced approach that combines compliance-oriented and deterrence-oriented strategies is essential, with the ability to continuously adjust these strategies based on rigorous monitoring of regulatory outcomes. Moreover, private enforcement should be mandated as a minimum requirement in private law.

This comprehensive book delves into diverse strategies and their outcomes in implementing financial regulation, encompassing rule-making, public enforcement, and private enforcement. The analysis is rooted in a comparative study of the conduct of business regulation regarding mis-selling of financial instruments in the UK and South Korea. It expands to cover liquidity regulation in the banking sector and credit rating agency regulation. The book reaches a compelling conclusion that while rule-making through purposive rules is highly effective in achieving regulatory goals with minimal undesirable consequences, its success hinges on a foundation of trust among rule-makers, enforcers, and regulated entities. Regarding public enforcement, a balanced approach that combines compliance-oriented and deterrence-oriented strategies is essential, with the ability to continuously adjust these strategies based on rigorous monitoring of regulatory outcomes. Moreover, private enforcement should be mandated as a minimum requirement in private law.

Weight: 503g
Dimension: 210 x 148 (mm)
ISBN-13: 9789811573316
Edition number: 1st ed. 2020