how?!

Discussion in 'Prop Firms' started by cigarno, May 7, 2010.

  1. cigarno

    cigarno

    It has been said that when a financial services firm trades both as agent in facilitating customer orders and as principal for the firm, conflicts of interest may arise in several ways. Obviously, a firm's proprietary desk trading ahead of pending customer orders is probably the first conflict of interest.
    Well how does that hurt the customer and benefit the firm?
    :confused: