Judicial interference in the regulation of the Brazilian capital market : the case of executive remuneration and transparency

Date

2013

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Abstract

The main objective of the Brazilian Securities Commission (CVM) was to protect investors, ensure efficient functioning of the market, and develop the securities market. Throughout 30 years of existence the CVM has expanded its powers: it regulates the stock market, debentures, investment funds in securities, derivatives, investment contracts and more. This book chapter focuses on relations between the CVM and the judiciary, analyzing judicial review of CVM’s regulation, which required publishing of remuneration of executive officers of public companies. This case demonstrates the negative potential of judicial interference, which can undermine evolution of a regulatory system for capital markets.

Description

Keywords

BRAZIL, FEDERAL LAW, FINANCIAL INSTITUTIONS, CORPORATIONS, INVESTMENT, MARKET ECONOMY, JUDICIAL SYSTEM, SOUTH AMERICA, REGULATORY REFORM, ADMINISTRATIVE LAW, COURTS, ECONOMIC AND SOCIAL DEVELOPMENT, GOVERNMENT DEPARTMENTS

Citation

Muller Prado, V. (2013). The Judicial Interference in the Regulation of the Brazilian Capital Market: The Case of Executive Remuneration and Transparency. In Mariana Mota Prado (Ed.), Courts And ‘The Regulatory State of the South’: The Case of Brazil (chapter 2).

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