‘CEOs should lose all if company fails’

LEGENDARY US investor Warren Buffett has questioned the moves by US President Barack Obama to limit the risk US banks can take as trading entities.

Buffett, who is chairman of Berkshire Hathaway, said risk was hard to define and therefore hard to limit.

One way to counter excessive risk taking, he said, is to make it so the chief executive of the institution that fails or that goes to the government for help really gets destroyed himself financially.