“CNBC, the business-news cable channel owned by General Electric Co., has instituted a new investment policy for its staff in an effort to avoid potential conflicts of interest among its reporters, producers and executives,” writes Joe Flint in today’s Wall Street Journal.

“Under the new policy, senior management, newsroom staff, on-air talent and their spouses and dependents will be prohibited from owning individual stocks and bonds and have until January 2005 to liquidate their holdings. Other CNBC employees will be subject to a no-trading policy. They can keep what they own, but the assets are frozen during their employment at the channel.”

“CNBC previous policy was that employees could hold individual stocks and bonds, but with a minimum four-month holding period. Newsroom personnel had to get prior approval from the network’s legal department for trades of more than 500 shares, or with a value of $20,000 or more. There also were random audits and required disclosure by on-air personalities of potential conflicts.”

“CNBC staffers also no longer can own stock in parent General Electric unless such stock is part of a company plan such as a 401(k), or owned through a mutual fund or blind trust.”

“A star anchor at CNBC, Maria Bartiromo, raised eyebrows six months ago by opening an interview with Citigroup Inc. Chairman Sanford Weill by disclosing that she owned 1,000 shares of Citigroup stock. CNBC says it was already in the process of reviewing its policy before Ms. Bartiromo’s on-air disclosure.”

“At Time Warner Inc.’s CNN, the all-news cable channel, staff holdings are reviewed at regular intervals, and a spokeswoman there said it would be ‘highly unlikely’ that any disclosures would be necessary. Fox News Channel, a unit of News Corp., allows business anchor Neil Cavuto to own and report on companies in which he owns stock, and he discloses such information on the air.”