Want to invest? Pass the test first
Investors would be required to pass an online exam before investing in complex or risky products in the wake of the Banksia Securities, Trio Capital and MF Global collapses, under a proposal by Greg Medcraft, the chairman of the Australian Securities and Investments Commission.
Investors would be required to take “e-learning module” tests that could take up to two hours. They would test investors’ knowledge of financial products including margin loans, contracts for difference, derivatives and hybrid securities.
If you fail – stay back after class.