ASIC is out beating the caution drum today. From the AFR:
Record low interest rates could push investors to chase higher returns via riskier investments, Australian Securities and Investments Commission chairman Greg Medcraft has warned.
He said interest rates were a high-level concern for the regulator amid fears it could fuel another fiscal crisis.
…“This is the real high-level concern risk – in the search for yield, people invest in products that are probably inappropriate for their needs or they don’t understand,” Mr Medcraft told The Australian Financial Review after speaking at an Australian Shareholders’ Association conference in Sydney on Wednesday.
“That’s going to be a very, very important thing that we’ll focus on.”
You have been warned!
