Facebook with money: the rise of online brokerage platforms and vulnerable groups

Pearson, Abigail; Gaspar-Szilagyi, Szilard

Abstract

The recent advances in information technology now allow millions of people to trade and invest in an array of financial assets with the help of online brokerage platforms. This allows retail investors to have more control over their own financial well-being, arguably a positive development. Nevertheless, trading and investing with real money comes with serious risks, especially for vulnerable people. The current UK framework for the regulation of online trading in financial assets overlooks vulnerable groups, such as children, disabled adults, and vulnerable women. By drawing a parallel between online gambling and online trading, the negative effects of online trading can be minimised. The UK regulatory and policy framework surrounding online gambling could provide valuable solutions to tackle the existing lacunae in the protection of vulnerable groups in the online trading environment.

Citation

Pearson, A., & Gaspar-Szilagyi, S. (2022). Facebook with money: the rise of online brokerage platforms and vulnerable groups. Legal Studies, 42(3), 377 - 395. https://doi.org/10.1017/lst.2021.51

• Journal Article Type: Article
• Acceptance Date: Oct 17, 2021
• Online Publication Date: Sep 1, 2022
• Publication Date: Sep 1, 2022
• Journal: Legal Studies
• Print ISSN: 0261-3875
• Electronic ISSN: 1748-121X
• Publisher: Wiley
• Peer Reviewed: Peer Reviewed
• Volume: 42
• Issue: 3
• Pages: 377 - 395
• DOI: https://doi.org/10.1017/lst.2021.51
• Keywords: online trading; FSMA 2000; vulnerable people; gambling
• Public URL: https://keele-repository.worktribe.com/output/426085
• Publisher URL: https://www.cambridge.org/core/journals/legal-studies/article/facebook-with-money-the-rise-of-online-brokerage-platforms-and-vulnerable-groups/6F99F374A5331D9874BA9EAEB3660B44