High sales prompt Finra to investigate certificates of deposit
After mass investor flight to the perceived safety of certificates of deposit, US regulator Finra plans to investigate quite how safe the investments are, especially those that include a derivative component
The US Financial Industry Regulatory Authority (Finra) is to investigate market-linked certificates of deposit (CDs), prompted by huge sales in these products last year, according to reports.
Certificates of deposit that include a derivative to gain exposure to an index are next on the regulatory body's list of products to inspect, according to Maria Rabinovich, a Finra representative speaking at a Structured Products Association event in New York in the first week of February. Rabinovich said
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