Financial Watchdog Reviews Risks in Private Markets

FCA Chief Executive Nikhil Rathi warned higher rates may impact the real estate sector, just like how China is going through a property market crisis.

A view of the City of London financial district, on March 19, 2021. Henry Nicholls/Reuters

The Financial Conduct Authority (FCA) confirmed on Wednesday that it’s reviewing how higher interest rates may have impacted the private market and whether the risks will spill to other sectors such as banking.

FCA Chief Executive Nikhil Rathi warned the rates may impact the real estate sector, just like “what’s happening in China,” referring to that country’s ongoing property crisis.