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Beverly Chandler, Opalesque London: Partners at law firm Dechert have addressed the issue of how a Eurozone event such as the exit of a country from the Eurozone would affect investment managers. As the news grows increasingly gloomy on the likely continuation of the Eurozone in its current state, Dechert urges fund managers to anticipate the impact of such an exit and to plan the steps they would need to take in response to such a development. "Managing this risk includes short and medium term steps to reduce risk or exposure, as well as the action that would need to be taken on the occurrence of an actual Eurozone event" the firm says.

Potential issues and oversight actions that should be considered by the management and boards of US and non-US funds include:

• What are likely to be the key issues from the Euro Crisis that could impact U.S. Registered Funds, UCITs and QIFs/SIFs; in particular, what boards should consider, analysis of fund documentation, risk management, portfolio and share class exposure, investment management agreements, service provider and counterparty agreements, custody arrangements and liquidity and valuation;
• What are the ways that fund managers can be proactive to prepare to deal with the Euro Crisis;
• Applying the lessons learned from the 2007-2008 financial crisis to the issues arising from the Euro Crisis;

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