Question 6 – Food Price Speculation

Is the bank involved in speculation on food prices?

Several investment banks, pension funds and hedge funds have contributed to the global rise in food prices by effectively gambling on the price of food and thus pushing it upwards. You may wish to ask your bank about this if it is a “universal bank” (that is, it has an investment wing as well as a retail wing).

The World Development Movement (WDM) provides a great deal of information on this issue.  Amongst UK banks, Barclays has faced particular criticism for its role in food speculation, although it has committed itself to restricting its activities in this area following campaigning by WDM and others. WDM are running a campaign called “Stop Barclays Betting on Hunger”.

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