Risk Management for Investment Funds: Trends and Developments
On Tuesday 19 January 2010, avantage hosted a briefing at Hotel Le Royal, Luxembourg, discussing trends and developments in risk management for investment funds, including UCITS and non-UCITS.
The session started with an overview of the latest trends by Vincent Galand, Senior Consultant, avantage who insisted that the fund industry is at the dawn of significant strengthening of investor protection in collective savings management, either through consistent EC regulatory initiatives such as UCIT IV, AIMF, CESR recommendations, through jurisprudence or simply through awareness by professional risk mangers that customers confidence must be rebuilt.
Vincent continued by detailing the CESR Risk Management Principles for UCITS, published in 2009, which aims at strengthening and harmonizing among EC supervisors the quality of the risk management process to be implemented by UCITS Management Companies and self-managed UCITS in order to protect unit holders from all material risks which may affect the performance of their investment.
You can download a copy of the avantage presentations here.
Our guest speaker, Mr Pierre Munch, Head of Credit Risk and Risk Management Europe, RBC Dexia Investor Services Bank S.A. provided a remarkable exposé on the role of the Custodian Bank. Mr Munch provided an insight into Custodian and Depositary responsibilities, distinguishing them by obligations of means and obligations of results and finally by presenting RBC Dexia Investor Services’ approach to meeting the new challenges faced by the fund industry.
You can download a copy of Pierre Munch's presentation here.
We would like to thank all attendees for their valuable contributions to the facilitated discussion which followed.
If you wish to obtain further information on the above, please do not hesitate to contact Vincent Galand on +352 26 19 03 60.
