FSA considers stronger 'buyer beware' on split-caps

In a 46-page discussion paper published this morning, entitled wider range of retail investment products: consumer protection in a rapidly changing world, the FSA suggests it needs to review the regulation of more complex products such as hedge funds, which could carry higher investment risk than many other products available to the retail investor. The City watchdog also asks whether the regulatory regime should be changed to shift away from a product-based structure to one which looks more at the risks of the investment strategy adopted, as it may be too difficult to describe some hedg...