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Jonathan Weil

What Does Eric Schneiderman Know That the Rest of Us Don't?

New York Attorney General Eric Schneiderman is cracking down on banks that let their analysts participate in customer surveys, a practice that isn't against the law. 
New York Attorney General Eric Schneiderman doesn't like big investors asking analysts at banks too many questions. Photographer: Brendan Bannon/Bloomberg
New York Attorney General Eric Schneiderman doesn't like big investors asking analysts at banks too many questions. Photographer: Brendan Bannon/Bloomberg
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Now that we know New York has an attorney general who makes up the law as he goes along when it comes to the securities industry, where will he draw the line?

Today Eric Schneiderman said his office has reached agreements with 18 financial-services firms, most of which are Wall Street banks, to "stop their practice of cooperating with analyst surveys administered by certain elite, technologically sophisticated clients at the expense of others." He said this practice "can put the market at large at an unfair disadvantage." And maybe he's right about that.