Raphael Bostic, president and CEO of the Federal Reserve Bank of Atlanta, violated multiple internal trading rules, including blackout periods, disclosure requirements, holding limits, and trading preclearance policies, according to a report by the Federal Reserve’s internal watchdog. However, the report noted that Bostic did not trade based on confidential information.
Atlanta Fed’s Bostic violated trading rules : Violations and Findings
The report, issued by the Office of the Inspector General (OIG) for the Federal Reserve Board of Governors, concluded that Bostic’s actions created “an appearance of acting on confidential information” and “an appearance of a conflict of interest” under the Atlanta Fed’s code of conduct. Between March 2018 and March 2023, Bostic’s third-party investment manager executed 154 trades in violation of the Federal Open Market Committee’s (FOMC) blackout rules, which prohibit trading around interest rate-setting meetings to avoid even the appearance of insider trading.
