Where angels fear to tread

Beware of investing in funds of hedge funds and other exotic products as part of this year's Isa, th...

Beware of investing in funds of hedge funds and other exotic products as part of this year's Isa, the Financial Services Authority has warned. The FSA has also warned investors not to get too comfortable with familiar brand names. The consumer alert follows FSA concerns that the rush to take out Isas before the end of the tax year might blind consumers to the risks associated with certain complex products such as the newly launched funds of hedge funds. In recent months, groups that have launched funds of hedge funds, or announced intentions to do the same, include Deutsche Bank, Morley, ...