The Australian financial watchdog urges product issuers to address over-reliance on client questionnaires, review mass marketing of OTC derivatives and make greater use of available data.

The Australian Securities & Investments Commission (ASIC) is taking aim at the broad distribution of over-the-counter (OTC) derivatives and other high-risk retail products to have issuers meet design and distribution obligations (DDO), according to its announcement along with a report issued today (6 September). These are high risk products, which mean a range of controls are likely needed to ensure they get to the right consumers in their ‘niche’ target markets - Karen Chester

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