Bank of England governor Mark Carney has been speaking to the largest fund management houses about how prepared they are for a mass sell-off that could follow an interest rate rise.
The governor (pictured) has been privately speaking to 135 fund management groups in the UK about how they plan to deal with investors rushing for the exit, the Sunday Times reports. He is particularly worried about the impact of the rise on homeowners, which could force them to liquidate their investments all at once as they can no longer afford higher mortgage repayments. The newspaper quotes one senior fund manager saying: "The Bank wants to make sure we can support the daily prices we offer to investors. They have been asking for a lot of information about liquidity in recent mont...
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