Chance Appears on 'Aaron Beam Speaks' podcast - So Many Ways to Be Dishonest

July 30, 2020


Don Chance

Ethical violations are reported on regularly through all news and social outlets, but are they actually happening more frequently? This question is examined in episode 14 of the podcast Aaron Beam Speaks – So Many Ways to Be Dishonest. With no magic answers concerning how to ensure ethical behavior, conversations like the one featured in this episode are imperative. Don Chance, who holds the James C. Flores Endowed Chair of MBA Studies and is Professor of Finance at the E. J. Ourso College of Business at Louisiana State University, weighs in on topics centered around ethical violations, when fraud may actually begin and the ethical risks of derivatives and stock options. 

“What I hoped to accomplish with the interview was to convey that I think Wall Street and the financial industry are no less ethical than the rest of society, but their ethical lapses are more visible and involve a lot of money,” says Chance.  “That said, the level of ethics in society as a whole is deeply disturbing.  I also think there are some troubling things to worry about in the research that comes out of academia, of which there has been a surprising amount of fraud.”

The idea of being inherently dishonest doesn’t get you up the corporate ladder, but does it creep in at the top? Listen to the discussion of the culture we find ourselves in today and when business and corporate trust starts. 

Aaron Beam is a member of the E. J. Ourso College of Business Hall of Distinction.  Beam was a co-founder of Healthsouth and the company’s first CFO. From 1984 to 1996 he helped grow Healthsouth into a Fortune 500 company. However, in 1996 he took part in an accounting fraud at the company that resulted in one of the largest corporate frauds in the history of the United States. In 2003 he pled guilty to the crime and was sent to federal prison.

He began his public speaking career in 2008 and as of 2018 has spoken to over 500 different groups. These include universities, associations, companies, churches and civic groups. His primary message is about corporate fraud, who is actually responsible, how they take place, and what can be done to prevent frauds such as Enron and Healthsouth. While Mr. Beam does not consider himself a motivational speaker, he does hope his speeches will motivate people to live a more ethical life.

Don M. Chance, Ph.D., CFA, holds the James C. Flores Endowed Chair of MBA Studies and is Professor of Finance at the E. J. Ourso College of Business at Louisiana State University. He previously held the William H. Wright, Jr. Endowed Chair for Financial Services at LSU, and the First Union Professorship in Financial Risk Management at Virginia Tech. Prior to his academic career, he worked for a large southeastern bank. Professor Chance has had numerous articles published in academic and practitioner journals and has authored three books: An Introduction to Derivatives and Risk Management (9th ed.) co-authored with Robert Brooks, Essays in Derivatives: Risk Transfer Tools and Topics Made Easy (2nd ed.), and Analysis of Derivatives for the CFA Program. His recent research examines asset allocation and investment performance measurement, executive stock options, the risk aversion of high-level executives, human aspects of risk management, corporations who accept blame and blame others, dividends as options, risk management in sports, and the economic efficiency of hybrid vehicles, He is often quoted in the media on matters related to derivatives and risk management as well as financial markets and the economy in general. He has extensive experience conducting professional training programs, and his consulting practice (Omega Risk Advisors, LLC) serves companies, organizations, and law firms. He is also involved in the development and writing of the derivatives curriculum in the C.F.A. program. 


Elizabeth Eaton
E. J. Ourso College of Business