Investment Glossary · Quick read · No ads
Agency Problem
A conflict of interest that arises when an agent (such as a company's management) acts in their own interests rather than those of the principal (shareholders) they represent.
What is Agency Problem?
A conflict of interest that arises when an agent (such as a company's management) acts in their own interests rather than those of the principal (shareholders) they represent.
About this page. Written by Associate Professor Charles Lo, CPA, PhD. Checked against reliable sources before publication. No ads and no paywall. Editorial standards · How we fact check · Corrections log · Report an error
Educational information only. Nothing on this page is personal financial, tax or legal advice. Investing involves risk, including the possible loss of principal.
