answersLogoWhite

0


Best Answer

If invested do not trust a given system, they are likely to reduce their funding. They may opt to pull out from the market in question.

User Avatar

Wiki User

9y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What would happen if investors thought that the financial system in Australia was risky or poorly regulated?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Finance

What is the difference between a blue chip stock and a penny stock?

A "blue chip" is the nickname for a stock that is thought to be safe, in excellent financial shape and firmly entrenched as a leader in its field. Blue chips generally pay dividends and are favorably regarded by investors when a "penny stock" is one that cost less than $5 a stock and are sold over the counter.


Should the government provide financial support to failing businesses?

Financial help is usually given to prevent the collapse of a major or strategically significant business or activity. This might be thought of in terms of employment or significance to the economy or region. However financial help uses up scarce resources from the government finances and arguably allows inefficiency to continue.


How is your Annuity insured?

Usually it is backed by the financial strength of the issuing insuance company. Answer 2 But more usually government bonds are bought to cover the payments to be made by the insurer. This guarantees (as far as one can guarantee anything) that the annuity payments are safe. The financial strength of the insurer is a very vague measurement - who'd have thought that an insurer like AIG (massive financial strength?) would go under.


Why do stock prices go up and down?

Stock prices go up and down based on the changes in investors' demand for a given corporation's stock. That demand is determined by investors' and potential investors' expectations regarding the company's future profits. If potential investors expect that a corporation will make high enough profits in the future, and they want to share in those profits and are willing to pay the current market price for the stock, they will buy stock in the company. But since there are only a fixed number of shares available for sale at any given time, as more and more new investors want to acquire stock in the same company, its price will be bid up until it gets so expensive that the expected future return no longer justifies the investment required to acquire the stock.Similarly, if stockholders get information that leads them to expect that the corporation might not do as well as they originally thought (or it looks as if having stock in another company will yield a better return for them), they will try to sell their shares at the market price. But since new investors will not be willing to pay high prices for stock when there is a big risk that the company might perform poorly, and a lot of current stockholders are trying to sell their shares at the same time, the demand for the stock on the part of new investors will be low, and its price will go down.


Is first command financial services a legitimate company?

First Command Financial Services is an investment adviser and a broker-dealer registered with the U.S. Securities and Exchange Commission, the Financial Industry Regulatory Authority and all 50 states and the District of Columbia. It is a member of the Securities Investor Protection Corporation (SIPC). The company is an FPA Alliance firm, one of only two companies ever to receive this elite recognition from the 27,000-member Financial Planning Association. It is the parent company of First Command Bank, a federally chartered savings and loan association regulated by the OTS and a member of the FDIC. First Command has developed a national reputation for thought leadership the First Command Financial Behaviors Index®, a research initiative that provides timely consumer data to journalists and is regularly referenced in the national news media. The U.S. Department of Defense and the National Committee for Employer Support of the Guard and Reserve has honored First Command with its Patriotic Employer Award, which is presented to companies and individuals for contributing to national security and protecting liberty and freedom by supporting employee participation in America's National Guard and Reserve force.

Related questions

When is it thought these people arrived in Australia?

barankarak


What is the name of the last volcano to erupt in Antarctica?

When is it thought the first volcano in Australia erupted? When is it thought the first volcano in Australia erupted?


Can you get green anoles as pets in Australia?

I thought you were suppose to do that


What is meant by without financial responsibility?

You spend your money without thought


How many people die from street racing in australia?

They have streets in Australia, thought they only did walk abouts


Why were foxgloves brought to Australia?

Because someone thought they were pretty.


What kind of agriculture is in Australia?

CEMENT! gee how could you not have thought of that


Why did the jacksonian democrats oppose the second Bank of the us?

they beleived it favored a small number of rich investors.


Why do some people think hammurabi's laws were fair?

Some people thought the laws brought order and justice to society. They also thought that they regulated many different activities, from business contracts to crime.


Which two continents have many islands that are part of them?

North America and Australia


What is the difference between a blue chip stock and a penny stock?

A "blue chip" is the nickname for a stock that is thought to be safe, in excellent financial shape and firmly entrenched as a leader in its field. Blue chips generally pay dividends and are favorably regarded by investors when a "penny stock" is one that cost less than $5 a stock and are sold over the counter.


Besides the earliest settlers of America where are cowboys thought to trace back to?

Australia