Online Public Relations Thoughts

The Federal Reserve has issued tough new rules for stock holding and trading by its governors.  It bans both and limits its executives to mutual funds while imposing limits on purchases and sales. While there has been no verified illegal insider trading, the appearances of having done so are what counts.  The Fed has to be perceived as clean because it controls the nation's money supply and interest rates.  The Boston and Dallas presidents have already stepped down because of trading during the pandemic even though what they did was acceptable at the time.  The Fed has joined accounting firms, which limit employees and partners on what they can do in investing since they possess so much insider information. Perception is an issue that will never go away.