The Federal Reserve has adopted new rules banning its policymakers and senior staff from buying individual shares and a string of other investments, as the US central bank tries to stamp out a growing furore over trading by top officials.
In a statement on Thursday, the Fed said that as a result of the new policies, its senior officials would be limited to “purchasing diversified investment vehicles, like mutual funds”.
As well as banning the acquisition of individual stocks, they would not be allowed to hold “investments in individual bonds, holding investments in agency securities (directly or indirectly), or entering into derivatives”, the Fed said.
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