even ordinary cash in the bank is not guaranteed by the banks... hence the govt put the guarantees in place to a maximum of $1 mill, reducing to $250,000 in feb 2012 on the bigger banks.....but from memory there was a price to pay by the banks for this security... the smaller banks who could not afford to pay, do not have the same guarantees in place....
dont any of you take notice....when news around the world, about a run on a bank...ie people run and take their money out...put it under the mattres, for safety..
have a look at this article.... extract...only...read the full text, to get your mind around it...I would suggest to you that you have no guarantee with your shares, other types of investments... ........................
What types of deposits are not covered? The government guarantee does not apply to market-linked investment products such as share portfolios or managed funds. The Australian Government has said these products “provide an incentive for investors to pursue higher returns through investments that may involve greater risks”. It will also not apply to retirement income products including annuities. Foreign currency accounts (including term deposits) are no longer be covered by the FCS.
