Controlling Capital examines three pressing issues in financial market regulation: the contested status of public regulation, the emergence of ‘culture’ as a proposed modality of market governance, and the renewed ascendancy of private regulation.
In the years immediately following the outbreak of crisis in financial markets, public regulation seemed almost to be attaining a position of command – the robustness and durability of which is explored here in respect of market conduct, European Union capital markets union, and US and EU competition policies. Subsequently there has been a softening of command and a return to public-private co-regulation, positioned within a narrative on culture. The potential and limits of culture as a regulatory resource are unpacked here in respect of occupational and organisational aspects, stakeholder connivance and wider political embeddedness. Lastly the book looks from both appreciative and critical perspectives at private regulation, through financial market associations, arbitration of disputes and, most controversially, market ‘policing’ by hedge funds.
Bringing together a distinguished group of international experts, this book will be a key text for all those concerned with issues arising at the intersection of financial markets, law, culture and governance.
Part I. Command Regulation: Revitalised Or Mythological? 1. On Culture, Ethics and the Extending Perimeter of Financial Regulation Justin O'Brien 2. Capital Markets Union: tensions, conflicts, flaws Dieter Pesendorfer 3. Petals not thorns: competition policy and finance Brett Christophers Part II. Culture: Organisations, Stakeholders & Politics 4. Reconstruction of ethical conduct within financial firms Sally Wheeler 5. Culture as cash: from bonus to malus Jay Cullen 6. Gentlemen, players and re-moralisation of banking: solution or diversion? Ron Kerr and Sarah Robinson Part III. Concession: Private Regulation In The Ascendancy 7. Public and private financial regulation in the EU: opposites or complements? Olha Cherednychenko 8. Resolving the gaps: the role of ISDA in post-crisis public regulatory frameworks John Biggins and Colin Scott 9. Virtuous vultures: hedge funds as private regulators Nicholas Dorn 10. Arbitration and financial services Gerard Meijer and Richard Hansen 11. Afterword: remembering and speaking Nicholas Dorn