Post by oppsididitagain on Jun 19, 2020 16:00:33 GMT
Some sites are reporting that the FCA is even considering extended the ban to listed bonds, I'm presuming they are including ORB listed bonds, that are speculative and illiquid. That I think would be a great shame. ORB never caught on the way it could have done, but it's still a useful tool for retail investors.
As usual, baby and bathwater come to mind.
At a times like this all assets could be considered specualive and illiquid, but where do they stop? No more investing in the stockmarket? Peer-to-peer?
How different is letting private investors invest in an illiquid speculative listed bond to letting them speculate in an Aim, blue-sky, never generated a sous resource stock?
Lets not even mention day trading and speculating in FX and spreadbetting - where 95% of retail investors lose their capital...and if the lurid headlines are to be believe, occasionaly their lives.
You could argue you can always sell in AIM, but there's plenty of times I'd prefer to be in an illiquid asset than a merry-go-round. Speculative or not.
Would I touch a mini-bond from a name I didn't know? No. But because others will I don't see why it should limit me (and others) from using specualtive listed entities if that's what we want.
If it's just listed on Google, well, that's another thing...
