What lessons have been learnt over the decade since Lehmans collapsed? (Part III)

Four-part Big Question special

In the final part of our Lehmans 10th Anniversary Special, industry leaders and commentators reflect on the last ten years and discuss how the financial system has improved since the Global Financial Crisis (GFC), where more work needs to be done and what could trigger the next crisis.

Click here for part I and part II Ian Marsden, investment manager at Redmayne Bentley Cheap money was undoubtedly one of the main causes of the financial crisis. Interest rates across the Western world drifted lower for two decades from their 1980s peak, while the Federal Reserve, under the chair of Alan Greenspan, pumped liquidity into the US economy during downturns with such dependability that it became commonly known as the 'Greenspan Put'. The ability to borrow cheaply and use leverage led to investors taking excessive risks, companies making sloppy decisions, and individual...