There is real, albeit currently low, risk of systemic meltdown which could spread across financial markets because of leveraged position, research into hedge funds by credit ratings agency Standard & Poors' suggests.
Actuary AJ Bell has sounded a warning about proposals in the Finance Bill on gearing levels for SIPPs once the new pensions regime starts on A-Day April 2006.
Residential buy-to-let landlords on average are only carrying 41% loan-to-value gearing a survey commissioned by Paragon Mortgages suggests.