The Jones Bank Ltd has two departments.

a) a pension fund department, which invests money on behalf of clients and customers, by investing in bonds, shares and so on.

b) a merchant bank department, one of whose clients is the prestigious and dynamic Sampson and Brown Ltd, which is to offer a new tranche of shares to the investment community.

Required: Identify the potential conflict of interest.

word limits should be between 500-600 words