In today's Retail Conduct Risk Outlook the Financial Services Authority (FSA) identified the five products it feels pose the greatest mis-selling risk to consumers.
The FSA said the slow economy is pushing consumers towards products which are unsuitable for them, either in terms of risk, meeting their requirements, or their understanding of the products. The five products the FSA identified as posing the greatest risks to consumers are as follows. Structured products The FSA is concerned that consumers are buying into structured products with little understanding of the counterparty, inflationary and market risks involved. The regulator is also worried that some structured products appear to offer 100% capital protection when they do not. ...
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