Financial weapons of mass destruction

Christopher Joye | 26 July 2013

This thought piece provides an alternative view on ASX listed hybrids, which have attracted billions of dollars of retail investment this year. I argue that many of the new hybrids actually rank below ordinary shares and are therefore riskier than equities. This runs contrary to the way ASX hybrids are promoted - they're marketed as bond-like or cash substitutes that rank ahead of equities, and are safer than them. The key questions are whether you and your clients truly understand them, and whether clients wou...