Under the Global Legal Settlement of 2002,the provision that requires investment banking firms to sever the link between underwriting and research is an example of

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The provision requiring investment banking firms to sever the link between underwriting and research is an example of separation of functions. This measure was taken to prevent conflicts of interest that can arise when investment banking firms promote stocks they are underwriting, while at the same time providing research on those stocks. By separating these two functions, the company can ensure that its research is unbiased and not influenced by its underwriting business.

Under the Global Legal Settlement of 2002,the Provision That Requires