There has always been a belief in some quarters - no doubt totally unfounded - that stockbroking houses around the world engage in "front-running" - executing orders for the firm and its directors before clients.

In effect, this means that the broking firm and a select few investors are always on the inside track, with the result that other clients are left on the outside.

Far be it for Current Account to suggest that such nefarious but apparently legal practices exist among our Irish stockbroking fraternity. But if they do they will soon be banned under new EU regulations. Brokers will even have to keep tapes of conversations with their private clients for up to a year.

In effect, the EU's Committee of European Securities Regulation is aiming to reduce risks by increasing the amount of information that brokers give to their private clients and putting a greater obligation on brokers to know their clients' financial background.

Brokers will have to check whether a client is suitable for a particular type of investment and tell them exactly what the commission is on each investment product.

No doubt this new rule is aimed at stopping commission-hungry brokers putting little old ladies into split capital trusts or Nasdaq futures!