Reuters editor in chief e-mail on conflict of interest

Here is the e-mail that Reuters editor in chief David Schlesinger sent out to the staff Monday morning:

A fundamental foundation of our principles is that we avoid conflicts of interest in our reporting and that we are honest and transparent with our readers when those conflicts occur.

Our code on disclosing financial conflicts is set out here:

http://handbook.reuters.com/index.php/Personal_investments_by_Reuters_journalists

It is vital that people read this, understand it and live by it. It forbids journalists from writing about shares they own unless they notify their interest to their manager and from dealing in shares about which they have written recently or intend to write in the near future.

Unfortunately, recently we became aware that an individual had breached this code multiple times, writing commentary about companies in which he had a financial interest and making trades shortly after writing. While we have no evidence the journalist was abusing his position for financial gain, we take such breaches extremely seriously and that journalist resigned with immediate effect during our investigation.

We will place an appropriate disclaimer in the relevant articles in the archive.

Subsequent questioning of Reuters Breakingviews staff revealed several other cases where disclosures to readers or managers could or should have been made; we are updating the archive where appropriate and will continue to investigate these instances.

Our principles and standards apply throughout our organisation and we will investigate and deal appropriately with any and all conflicts we become aware of. We will also review our training around the Handbook and its key provisions to minimise the chance of anything similar occurring in the future.

But it is vital that each and every one of you look to your own market participation to be sure you comply with the spirit and the letter of our rules. This is about our compact with our readers; it is about our individual reputations; and it is about ensuring that Reuters and Thomson Reuters live up to the standards set both by our long, proud history and our Trust Principles.