Lessons Learned from Years with
A functional security and financial market is a necessity for every economy; otherwise, the economy is at risk of being paralyzed. The market will only operate smoothly if only it is regulated by the government. The economy will be very stable after the regulation of the financial and security market. The financial crimes will reduce, there will be market confidence, and clients will be protected when there is regulation of the security and financial market.
For many years, the state has been in the control of the security and financial market through imposition of various regulations. This is an essential market that almost everybody in the country depend on, and thus it will require some regulations. A good example of an institutions that will need regulation is the bank; people depend on it for borrowing and saving. Beside the government, people in the private sector like Chris Brummer has been struggling to ensure that the security and financial market is regulated.
The US government has established various state agencies which are mandated to set regulation and oversee its implementation. These agencies include the Federal Reserve Board, Security and Exchange Commission. Financial and security institutions are strictly monitored to ensure that they are abiding by the set regulation. When a company does not follow the regulation, there is no doubt that it will be faced by the enforcement proceeding. As a result the customers of the financial institutions will be safe.
When the regulations have been implemented, they will come with various benefits. First the customer of the financial market is going to be protected from crimes that are related to the credit cards, mortgages, and other products in this market. The investors will also benefit from any unethical actions in the market. The results is that the investors cannot lose their money. Financial firms will not be required to put a lot of risk on the money of the client. Finally, regulation is directed to the monopolies to ensure that they do not produce defective products.
Every citizen should have basic information about financial and security regulation; these were the recommendation from Chris Brummer. Chris Brummer was saying that during his speeches where he urged people to commence understanding their finance from a personal level. When you understand your finance, it will be easy to make an informed decision. When you are applying for debts; the financial and security regulation info will be of great importance. With the info, you will quickly understand the terms of the debt.
The regulation of the security and financial market is essential. It is thus necessary for the government and financial expert to reviews the regulation for the maximum protection of the investors and customers.